Weather Forecast Now logo
46° mist

weather news

Americans Spending More at Gas Pumps Once Again - How Long Will it Last?

Last month
Featured image for the article "Americans Spending More at Gas Pumps Once Again - How Long Will it Last?"

Gas prices are going up again. According to the United States Department of Labor, gas prices went up an average of 3% in February 2024. Many consumers have also noticed that they have continued to rise during early March.

According to AAA, gas prices rose 6% between February 12 and March 12, rising to their highest price in the last four months. Bespoke Investment Group says that gas prices from March 7, 2023, to March 7, 2024, climbed by 9.2%.

Historically, they climb an average of 8.3% annually. Gas prices are usually lower in the winter than in the summer. The rise in gas prices may have several causes.

OPEC+ Keeping Oil Off-market

On March 3, 2024, OPEC+ agreed to continue to cut the availability of crude oil through at least through the end of June. The group, which includes many of the world's top oil producers, had cut production to just 2.2 million barrels per day in November 2023.

During the announcement, it was revealed that Saudi Arabia, the world's largest oil producer, would still cut 1 million barrels daily.

Before the announcement, Russia produced 500,000 barrels daily and will start producing only 471,000 barrels daily. Meanwhile, Iraq has been producing 223,000 barrels daily but will only be producing 220,000 barrels. OPEC+ had put the cuts in place and continues to cut them because of low prices for crude oil. Each barrel of crude oil produces about 20 gallons of gasoline.


Tags

Share

More Weather News