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Gasoline Prices at Fresh Peak Spell No Relief for US Drivers

Published 01/06/2022, 06:24
© Reuters.

(Bloomberg) -- US gasoline prices climbed to yet another record, the latest blow to motorists at the start of the summer driving season.

Average retail pump prices in the US are now $4.622 per gallon, according to auto club AAA. That’s up from $4.178 a gallon a month ago and more than 50% higher than a year-earlier.

At the same time, Nymex gasoline futures also settled at a record of $4.08 a gallon in New York on Tuesday as the June contract expired, topping the previous peak set earlier in May. Gains in futures indicate that retail gasoline prices will continue to increase.

The rally comes as West Texas Intermediate futures posted their six straight monthly advance -- the longest winning streak since April 2011 -- after the European Union agreed to pursue a partial ban on imports from Russia and China further eased anti-virus curbs, aiding demand.

Despite the soaring prices, demand for gasoline on a four-week rolling basis has crept higher since early April.

(Updates with gasoline futures and WTI prices in third and fourth paragraphs)

©2022 Bloomberg L.P.

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