For some reason, experts might be a bit off in their prediction that gas prices wouldn’t rise as much. While it is still below $4 a gallon compared to last year’s all-time highs, $2.50 per gallon at the pump can surely make any typical motorist feel the impact of the increase.
The price has risen for the 33rd straight day according to a report by AAA. At $2.50 on the average at the pump, it is now 20% more in just a month’s time. Analysts predicted a rise due to the coming of the summer season where gas prices normally spike up due to formulation and demand.
This current rise, however, strikes many motorists as well as analysts as alarming.
The jump in one of consumers’ staple purchases comes at a fragile time for the economy. Recently some measures of housing, spending and credit have hinted that the most severe parts of the recession may be easing.
This jump in prices during a time when the auto industry is most volatile is clearly a reason for worry.
Source: CNN
