There’s been some slightly weaker than expected economic data recently reinforcing the idea that we’re still in a sluggish recovery.
It seems that the concerns and the resulting lack of demand might have helped push crude prices down, which in turn suggests that gas prices might be at or very near their peaks.
If you click to make the chart below stretch back to 2008, you can see that both crude prices and pump prices are below their 2008 peaks. There seems to be compelling evidence that the economic drag from increased gas prices will be limited as long as pump prices stay below that 2008 peak.
Of course, gas prices are a huge issue, and the longterm forecast will be for higher and higher prices, even if the U.S. continues to drill more of its own oil. Oil prices are determined largely by a world market. Increasing demand plus the possibility of political instability will be with us for a long time.
Here’s the latest from GasBuddy.com.
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| Savannah Historical Gas Price Charts Provided by GasBuddy.com |