Supply and demand of products are leading influences in price fluctuations of commodities in the market. Several places countrywide are experiencing variations of gas rates as the possibilities of the prices upsurge in summer are high. In California, seasonal demands are affecting the price of gas as the summer season approaches, and Californians will be forced to pay more for gas. AAA officials have reported that Bay Area Drivers have already felt the augmented costs which are higher compared to the statewide average prices. It is the first time in four years that the Californians have experienced such oil prices
Following record travels registered across the US, AAA officials have anticipated an increase in the prices between $3.60 and $3.80 by May 28, especially on the West Coast. In March, the demand for gasoline rocketed, and it was almost to the level that AAA experiences in the summer. Michael Blasky, the AAA spokesman in Northern California, said that if the trend continued, fuel prices would continually escalate.
Several factors have triggered the flux of the prices. A healthy economy in the country and increasing consumer confidence has influenced the demand which is out of the ordinary. Additionally, during the refinery maintenance season, refineries decrease their operations during the process of shifting from the winter blend of gas to the summer shift. It significantly affects the charges for gas in the market. Although it is a bit expensive, the gas produced and used during the summer season is more refined an environmentally friendly.
This month, the national average gas stands at $2.61
To beat these price hikes we’ve searched out the cheapest gas prices! Please see our article for the cheapest gas prices in the Fountain Valley area: Click her for article