After four consecutive weeks of declines, gas prices reversed the trend, edging up yet again, with further increases possible.
In the last week, the national average for regular grade gasoline rose last week. Nationwide prices are 19 cents below month ago prices. Prices remain 61 cents higher than year ago prices, yet 67 cents below the all-time high of $4.11 per gallon set three summers ago.
As of Monday morning, prices were averaging above $3.30 a gallon in the Cecil County and northern New Castle County areas. That was up a nickel from a week ago. Readers commenting on the Whig's Facebook page reported prices ranging from $3.28 to $3.40 a gallon, with one station increasing the price at the pump by a dime in the space six hours.
According to AAA Mid-Atlantic, the higher price translated into an average cost to gas up a vehicle with a 15 gallon tank of $50.33, up from $49.20 a week 15 Gallon Tank to $50.33, up from $49.20 a week earlier. That was still better than the $52.83 paid last month and the $56.28 paid six months ago. However, it is still far above the $41.38 paid a year ago.
Crude oil prices rose, due, in part, to a weakened U.S. dollar. At Friday's close, crude oil settled at $86.80 for its second straight weekly gain.
In its weekly report, the U.S. Energy Information Administration (EIA) data showed crude stocks rose 1.3 million barrels, to 337.6 million barrels (a third straight increase and a 6.4 percent below year-ago levels). Gasoline stocks fell 4.1 million barrels to 209.6 million barrels (down 1.9 percent). Gasoline demand over the past four weeks was 0.7 percent lower than a year ago, averaging 8.9 million barrels a day.
"After several weeks of relief at the pump, motorists are now faced with the reality of a reversal of trend," said Ragina C. Averella, manager of public and government Affairs for AAA Mid-Atlantic. "Gas prices mirrored crude oil increases last week, ending a 4-week run of gas price declines."
As crude oil prices increase, so do gas prices, Averella said. How long will they rise and how high will they do remain uncertain, however, analysts believe that as crude oil settles back in the $80 to $90-per barrel range gas prices will follow suit, crossing back over the threshold of $3.50 per gallon nationally and potentially increasing as much as 10 cents per gallon by Halloween, she added.
