At $5 a gallon, nationwide average of gas prices hit record high in US

The nationwide average price for a gallon of gasoline has topped $5 for the first time ever

US gasoline prices
AP New York
2 min read Last Updated : Jun 11 2022 | 2:00 PM IST

The nationwide average price for a gallon of gasoline has topped USD 5 for the first time ever.

Auto club AAA said the average price on Saturday was USD 5.00. Motorists in some parts of the country, especially California, are paying far above that.

The national average price has jumped 19 cents in just the past week, and it's up USD 1.93 from this time last year.

There are several reasons for the surge in gasoline prices.

Americans typically drive more starting around Memorial Day, so demand is up. Global oil prices are rising, compounded by sanctions against Russia, a leading oil producer, because of its war against Ukraine. And there are limits on refining capacity in the United States because some refineries shut down during the pandemic.

Add it all up, and the cost of filling up is draining money from Americans who are facing the highest rate of inflation in 40 years.

California has the highest average price, at USD 6.43, according to AAA. The lowest average is Mississippi, at USD 4.52.

While this is the first time breaking the USD 5 barrier, it's still not a record when inflation is taken into account. Gas peaked at USD 4.11 a gallon in July 2008, which would be equal to about USD 5.40 a gallon today.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Subscribe to Business Standard digital and get complimentary access to The New York Times

Quarterly Starter

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

Save 46%

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Access to Exclusive Premium Stories Online

  • Over 30 behind the paywall stories daily, handpicked by our editors for subscribers

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

Topics :US gas pricesgasoline pricesGas pricesUnited States

First Published: Jun 11 2022 | 2:00 PM IST

Next Story