Though gas prices took a jump in Iowa this week they’re still far below the price analysts say we should be paying based on all the factors. Monte Shaw with the Renewable Fuels Association says there’s plenty of crude oil available at low prices. Given the country’s economic situation, the only reason prices aren’t even lower is the concern over international tensions, and some sellers who are keeping prices higher to make a profit. Shaw says there are reasons to keep a close eye on the market. He says there’s a lot of unrest in the Middle East and uncertainty about our dependence on oil from that region, and supplies have dropped to nothing from Venezuela, a country that supplies the U.S. as much oil as the Middle East does. One factor that could stabilize the uncertain markets is an oversupply of ethanol, which has seen prices for alcohol fuel drop steeply in recent weeks.
