Florida – Fuel prices are still rising (up 9 cents in the past week in FL) after OPEC agreed to cut crude oil production and oil prices have reached a 17-month high.
As of Sunday, the average gallon of regular self-serve unleaded cost $2.18 nationwide and in FL. That same gallon cost $2.16 in Daytona Beach on Tuesday.
“AAA forecasts that gas prices could rise a total of 10 to 15 cents based on the recent surge in crude oil prices,” said Mark Jenkins, spokesman for AAA. “How the market responds this week could send prices even further. It’s unclear how much more upside momentum oil prices have, but some analysts believe they could eventually reach $54 a barrel. If that happens, the rise in pump prices could reach a quarter.”
Crude oil prices last week were the highest they’ve been since July of 2015. The price of a barrel was $51.68 on Friday, $6.45 higher than it cost on Tuesday. Wholesale gasoline price went up 13 cents last week.
OPEC’s production cuts will begin un January and will go until at least May 25, 2017, when they meet again and discuss the possibility of an extension. OPEC also announced they would be establishing a Ministerial Monitoring Committee to help implement the production cuts and to oversee member compliance.
Chart courtesy AAA.
Copyright Southern Stone Communications 2016.