Connecticut, Illinois, California, Hawaii, and Alaska now average more than $4 per gallon for gasoline.
New York and DC are nearly there, with average prices of $3.97 and $3.99 respectively.
The national average is $3.82.
Alaska proves having a lot of oil locally does not mean low prices locally. Alaska has a high cost of living, taxes oil and gas significantly, with former Governor Palin raising those taxes. But the main reason that Alaska has $4 gasoline is that oil is priced globally.
And oil prices have increased about 40%, reaching the highest levels since the spring and late summer of 2008. In July 2008 oil peaked at $147 and crashed to the low $30 per barrel as the nation hurtiled toward depression after the Lehman bankruptcy on September 15, 2008.
The friday NYMEX price closed at $109 per barrel and Brent at $123.
So will rising oil and gasoline prices create an energy shock that shakes once more our economy? I will offer some thoughts in the next post.