Gas prices have increased above the benchmark of $2 last week on the national level. This is the first time that prices have breached the benchmark in three months. The average price last Sunday was $2.04 per gallon which represented a 6 percent increase compared to a week before.
On the national level, prices of fuel have increased a total of 23 cents 20 days in a row. Although there are annual savings, the overall amount is diminishing.
According to a report from AAA - The Auto Club Group, savings recorded on Sunday represents 39 percent in every gallon, year over year and $1.50 compared to two years ago.
"Gas prices keep pushing higher due to upward pressure on crude oil, supply and demand, and refinery maintenance season," said Mark Jenkins, AAA spokesman.
"The weekly average price of oil shifted higher by nearly $2 a barrel last week, signaling what could be another 5 cent hike at the pump. Although pump prices should rise more in the coming months, they will likely remain lower than year-ago comparisons," Jenkins added.
Experts are also predicting that gas prices will keep on rising over the following months. In the Miami area, prices have been going up. It rose last week by 6.4 cents per gallon.
According to GasBuddy.com, a survey of almost 1,700 gas stations in Miami-Dade revealed that last Sunday's average gas price was $2.13 per gallon.
"The rise in gasoline prices comes as refinery maintenance begins kicking into high gear," said Patrick DeHaan, GasBuddy senior petroleum analyst.
Prices of crude oil went down last weekend when news came out that U.S. oil stocks increased by over 9 million barrels. But then, prices have gone up and down due to supply and demand expectations.
As reported by AAA, market fundamentals kept on pointing to oversupply and even with speculations that prices will rebound, a bearish approach still remain.