Gas prices primed to rise in 2018, highest in four years

GasBuddy Predicts Jump in Price

The fuel price-tracking website predicts the cost of a gallon of fuel will rise by $0.19 per gallon in 2018, on average, to the highest level gas prices have been since 2014. "Yet, understanding many factors, including OPEC, fuel taxes, the economy and their impact on supply and demand is integral to providing a thorough and balanced outlook on gas prices for 2018", said Patrick DeHaan, head of petroleum analysis at GasBuddy.

According to the GasBuddy.com forecast, prices are expected to rise 18 cents a gallon, averaging $2.57 nationally in 2018.

More: What's getting more expensive in 2018? Ultimately, OPEC bears much of the responsibility for cutting oil production, leading oil inventories to begin 2018 almost 50 million barrels lower than a year ago.

The average in South Bend is $2.59 a gallon, a $00.23 jump from past year.

"Although prices at the pump shot up over the holidays, now that the holiday season in the rearview mirror, motorists can expect gas prices to trend cheaper this month as we are likely to see a significant drop in gasoline demand", AAA spokeswoman Jeanette Casselano said in a written statement.

"It looks like two refineries have run into some more trouble in the United States and that could lead to keeping those prices where they are", McTeague said. Vancouver, for instance is forecast to see the highest peak prices at $1.52 while Winnipeg and Saskatoon should top out at $1.29.

GasBuddy Predicts Jump in Price
Analyst: Gas prices could soon reach $3 a gallon

GasBuddy recommends that people look around for cheaper prices on gas rather than just going to the most convenient location.

Whether it is a trip to work, the store or vacation, drivers are expected to be paying more at the gas pump in 2018 compared to previous year.

At $2.11, Hammond, Louisiana, had the lowest average gasoline prices in the nation Thursday, though some stations in the South and Southwest even had prices below $2 per gallon. In 2017 GasBuddy predicted that gas would cost $2.49.

The average household yearly gasoline bill will rise to $1,898, up from $1,765 in 2017.

"All related to the increase in the price of crude which is now hovering about $60 a barrel", said AAA fuel analyst Don Redman.

To save money at the pump, Jenkins advises drivers to shop around for their gas.

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