$5 gas is here: AAA says nationwide average hits new high

Auto membership AAA mentioned the typical value on Saturday was $5.00. Motorists in some elements of the nation, particularly California, are paying far above that.

The nationwide common value has jumped 19 cents in simply the previous week, and it is up $1.93 from this time final 12 months.

There are a number of causes for the surge in gasoline costs.

People usually drive extra beginning round Memorial Day, so demand is up. International oil costs are rising, compounded by sanctions in opposition to Russia, a number one oil producer, due to its battle in opposition to Ukraine. And there are limits on refining capability in the US as a result of some refineries shut down throughout the pandemic.

Add all of it up, and the price of filling up is draining cash from People who’re dealing with the best charge of inflation in 40 years.

California has the best common value, at $6.43, in response to AAA. The bottom common is Mississippi, at $4.52.

Whereas that is the primary time breaking the $5 barrier, it is nonetheless not a document when inflation is taken under consideration. Gasoline peaked at $4.11 a gallon in July 2008, which might be equal to about $5.40 a gallon immediately.