Gas prices up to $4.10

June 23rd, 2008 - 12:17 pm ICT by Amrit Rashmisrisethi  

Gasoline in the U.S. costs $4.10 per gallon on average, but the price may be at a peak.

A pledge to Saudi Arabia to pump more oil in response to consumer countries’ requests, according to Trilby Lundberg, editor of the nationwide Lundberg survey for about 7,000 gas stations.

“I suspect that oil prices have peaked and will flip further because of this news and the physical addition of more oil on the market in July,” Lundberg said. “This gives a strong chance that pump prices are peaking now, or may already have done so.”

A barrel of oil has doubled in price over the past year, stoking inflation, triggering protests from Asia to Europe, and compounding the financial pain of U.S. consumers already grappling with a sagging housing market, job uncertainty and soaring food costs.

Top officials, policy makers and oil company executives met on Sunday in Jeddah, Saudi Arabia, for emergency talks on how to bring prices down.

“Crude oil prices may spike at any moment from existing trouble in areas including Nigeria, or from some unforeseen hit to global supply,” Lundberg said. “This may sound optimistic, (but) it seems likely at this moment as the meeting in Jeddah, Saudi Arabia is being concluded, that oil prices may have peaked and may drift down.”

One common reason cited for the rise of oil prices is soaring demand from developing economies such as India and China, whose emerging middle classes are gobbling up more oil.

Related Stories

Tags: , , ,

Posted in Environment, World, World News |