Gas prices are expected to be at the highest level in six years for the Fourth of July holiday. Yes, the gas prices are set to raise on national independence day.
Regular gasoline peaked at a national average of $3.98 a gallon in early May. The current national average price of gas is 23 cents per gallon more expensive than it was on the Fourth of July last year. The highest was seen in 2008. The highest record was $4.11 a gallon in 2008.
“We’re going to see the highest July 4th prices since 2008, and we probably wouldn’t have, if it weren’t for Iraq,” said Tom Kloza, chief oil analyst at GasBuddy.com. “I certainly would not rule out if something happens near Basra or south of Baghdad, we would see national prices make a pass at $4…but I just don’t see a fuel apocalypse in North America this year.”
“Although gas prices in the Southeast remained relatively stable from last week, it wouldn’t be surprising to see gas prices inch up slightly before the holiday weekend,” said Jessica Brady, AAA spokeswoman with The Auto Club Group. “Even though pump prices are higher than they were this time last year, they are not expected to deter holiday travelers.”
Gas prices used to depreciate in the upcoming weeks of the holiday in previous years, but that’s not the case this summer.
AAA Travel reports the statewide average price of gas is $3.71 for a gallon of regular unleaded. It was $3.48 last year on the Fourth.
Despite of the higher price AAA Travel is projecting that 41 million Americans will travel 50 miles or more from home during the Fourth of July holiday weekend, which they define as July 2-6.
Some states put taxes on gasoline starting July 1 and that could push the national price slightly higher before it starts to come down. If not for Iraq, he said the price would peaked for the year in late April.