ST. LOUIS, Mo. (KMOX) — Just as we were celebrating three dollar a gallon gasoline, the price jumped in several St. Louis County towns this morning to $3.39 a gallon. (Click here to find the cheapest gas in your neighborhood.)
AAA’s Mike Right says that those stations must have received a new shipment of gas that costs more.
“Perhaps a refinery maintains problem, some hiccup in the distribution system,” speculates Right. “Or the fact that we’re heading into a holiday season, maybe demand shot up unexpectedly.”
Right also attributes the possible jump in prices to former Tropical Storm Debby.
“Oil platforms in the Gulf were evacuated because of the storm, and they may have disrupted some of the distribution.”
Right expects the jump to be short-lived and lower prices to be the long-term trend.
“Well we’ve seen a significant reduction in the cost of crude oil,” Right said. “At one time crude was selling for $110 a barrel. That same barrel of crude now is selling for less than $80. That’s the main driving force that’s impacting retail prices.”
“I think that at least for the immediate future things are looking good from a consumer’s point of view,” Right told KMOX News. “We have an abundance of crude oil in inventory, gasoline is in strong supply, and demand for both crude and gasoline is pretty flat. So when you have excess supplies and soft demand usually you see prices moderate.”