Nationally, the average price for regular unleaded reached $4.52 on Tuesday, the eighth straight day it set a new high, according to AAA. Prices have surged since Russia’s invasion of Ukraine earlier this year prompted numerous countries to ban imports of Russian oil as a punishment. The price of crude oil, which accounts for more than half of gasoline’s cost, has moderated since rising as much as 35% at the start of the war, but it has barely helped gas prices. Not only is there a lag between oil and gas price drops, but a decline in refinery capacity has made it more difficult to meet the demand. And even the typical dip in demand between spring break and Memorial Day isn’t helping to lower prices like it usually would, according to Andrew Gross, a AAA spokesperson. Have a question, comment, or story to share? You can reach Terry at tlane@thebalance.com. Want to read more content like this? Sign up for The Balance’s newsletter for daily insights, analysis, and financial tips, all delivered straight to your inbox every morning!
