Tags: gasoline | prices | gallon | five dollars | nyc | big apple

NYC Gasoline Prices Reportedly Surge to $5 a Gallon

NYC Gasoline Prices Reportedly Surge to $5 a Gallon
(Minerva Studio/Dreamstime)

By    |   Wednesday, 23 May 2018 10:30 AM

Motorists in the Big Apple reportedly are paying some of the nation’s highest prices for gasoline.

Gas prices have reached five dollars per gallon in New York City, Fox5NY reported on Tuesday.

One gas station in Manhattan’s Hell’s Kitchen neighborhood listed its gasoline for $4.999 per gallon, according to the news station.

The current national average price for regular gas is $2.947 per gallon, while New York’s average is $3.083, according to AAA.

The EIA projected the cost of regular gas for American motorists to be an average of $2.74 per gallon this summer, with the highest price of $2.79 per gallon in May.

According to their projection, the two most common factors that alter gas prices are wholesale margins and the price of crude oil, the Hill reported.

Earlier this week, the average price of regular-grade gasoline in the U.S. jumped 10 cents a gallon over the past two weeks to $3.00 in what could be the beginning of a long, hot summer for American motorists at the pump.

Industry analyst Trilby Lundberg of the Lundberg Survey said Sunday that the price has spiked 41 cents over the past three months, the AP reported.

Lundberg says the increase is largely driven by higher crude oil costs and the phasing-in of summer-grade gasoline, which is used to prevent smog.

The highest average price in the contiguous 48 states was $3.79 in the San Francisco Bay Area. The lowest was $2.54 in Baton Rouge, Louisiana.

The average price for diesel fuel rose 9 cents, to $3.23.

Though prices at the pump are likely to be the highest since 2014, AAA is still projecting the largest Memorial Day weekend travel volume since 2005, Bloomberg reported.

Road travel is projected to rise 4.7 percent Memorial Day weekend, while air travel will rise 6.8 percent, AAA says.

To be sure, Again Capital's John Kilduff predict that record-high gasoline demand and exports will combine with soaring crude-oil prices to create some sweaty pain at the pump for American drivers in the next few months.

"We could be on the cusp of a hot, high-priced gasoline summer," Kilduff recently told CNBC.

U.S. gasoline prices commonly jump right before the unofficial start of summer, Memorial Day. After that weekend, gasoline prices usually slip after the market realizes there's adequate stockpiles of fuel in storage tanks, Kilduff explained to CNBC.

However, Kilduff warned that this year might break the trend because drivers are consuming a record level of gasoline at a time when U.S. gasoline exports have hit all time-highs above 2 million barrels a day, CNBC explained.

Rising gasoline prices are slowly but surely affecting other economic aspects.

Recent data showed U.S. retail sales increased marginally in April as rising gasoline prices cut into discretionary spending, but consumer spending appeared on track to accelerate after slowing sharply in the first quarter.

Fuel costs aren’t high enough to deter travel, according to Bill Sutherland, senior vice president, AAA Travel and Publishing. “A strong economy and growing consumer confidence are giving Americans all the motivation they need.”

(Newsmax wire services contributed to this report).

© 2019 Newsmax Finance. All rights reserved.

1Like our page
Motorists in the Big Apple reportedly are paying some of the nation’s highest prices for gasoline.
gasoline, prices, gallon, five dollars, nyc, big apple
Wednesday, 23 May 2018 10:30 AM
Newsmax Media, Inc.

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

© Newsmax Media, Inc.
All Rights Reserved