Gas industry analysts were expecting pump prices to go down at a nominal rate, but it's not happening. You can blame the escalating tensions in Iraq.
The experts say U.S. refineries are operating at near full capacity and domestic demand is actually down a little bit. One good thing: GasBuddy.com Senior Petroleum Analyst Gregg Laskosky says Houston prices are stable right now.
“The current average price is 3-42 a gallon,” Laskosky says, “a week ago we were at 3-41. A month ago we were at exactly the same price we are now.”
Uncertainty, like the fighting in Iraq, always drives prices higher nationwide. Late last week the price of crude hit a 10-month high at 107 dollars per barrel.
Laskosky says the higher crude price wasn’t anticipated.
“Until this occurred,” he says, “we were actually expecting retail prices to decline, just at a nominal rate.”