Some economists are hinting that the nation’s economy may be recovering faster than expected and while that’s encouraging news, it’s having an impact on fuel prices.
Gail Weinholzer, spokeswoman for Triple-A-Iowa, says gasoline prices are rising in Iowa, bumping up 10 to 20-cents a gallon in the past week. "They are definitely beginning to climb up again," Weinholzer says. "We’re seeing crude oil selling at about $54 a barrel and that’s forcing prices up at the pump."
After being ten or 20-cents below the $2 mark for several weeks, she says prices are now over two-bucks a gallon in most Iowa cities. Weinholzer says the good news about the nation’s marketplace is evidently translating to bad news at gas stations.
"The crude oil prices are being pushed up by the fact that there’s some expectation that the economy will warm up the second half of the year," she says. "Keep that in mind, as well as the fact we’re heading into the summer driving season. There’s certainly some expectation that we won’t see any lessening of fuel prices."
When gas prices rise, Weinholzer says diesel prices usually follow. She says diesel is usually ten to 15-cents a gallon above regular fuel and she expects that margin to be sustained.
The current national average for a gallon of self-service unleaded gas is two-14, compared to $2.07 in Iowa. The record high price for gasoline in Iowa is almost twice as high $4.02 a gallon — set last July.