Analysts have predicted that gas prices will soon go up 10 percent. It will happen when millions of Americans are on vacation. The average price for a gallon of regular gasoline in the US is currently around $3.50. It is expected to increase by 25 cents to 30 cents over the next couple of weeks.
Wholesale prices of oil have gained over the past month and the increases are passed along to consumers in the form of higher pump prices. There are signs that the gas price hikes have already started and it has been expected that per gallon rates will continue their upward trend by increasing 1 cent or 2 cents per day.
Analysts said that in the short term, gas prices will be in the $3.60 to $3.70 range. Some markets that are already around $3 per gallon range will see the price to be $4.
Based on the AAA Fuel Gauge report, the national average was $3.38 per gallon a year ago. This was 14 cents less than the average as of Thursday. If prices continue to rise in July and August, then it would be a repeat of 2012. That was when prices dropped in early summer before it went up starting from mid-summer onwards. A week in early August of 2012, the national average increased to $3.66 from $3.53. This was attributed the weather and refinery issues.
In September of 2012, prices at the pump were expected to drop after the Labor Day celebration but the opposite happened. National average reached above $3.80 per gallon at the end of September 2012. The end-of-summer increase has made 2012 the most expensive year for gasoline.
Earlier in 2013, most analysts estimated that the year would not be more expensive than 2012. So far, gas prices in 2013 have been volatile and unpredictable. People are still hopeful that analysts are wrong about the latest prediction that gas prices will increase starting this July going into August.