Driving to your 4th of July holiday destination is more expensive that it was last year.
The average nationwide price of $2.85 for a gallon of regular gasoline is about 60 cents more than a year ago.
Tom Kloza, the global head of energy analysis at the Oil Price Information Service in Wall, New Jersey, says that’s because higher crude oil costs.
He doesn’t expect gas prices will go up much more this summer.
“I think there’s an outside chance we make another run at $3. But it’s real tough once you get there. Retailers find that if they price $3.01 as opposed to $2.99, they see dramatic changes in volumes.”
Kloza cautions prices could rise if any hurricane develops that disrupts production.
“There’s no tolerance for hurricanes this year. If we get any threat, even if the threat is not for a landfall but just precautionary shutdowns, we’re going to see gas prices go up briefly, but we could see above $3 in places like New Jersey and along the Southeast coast.”
Kloza predicts prices will start moving lower after Labor Day and could drop 10 to 25 cents a gallon.