The American Automobile Association headline on its story about gasoline prices characterized things as reflecting “war’s dark uncertainties” and it was right.
As Russian forces pushed forward in their deadly invasion of Ukraine, crude oil prices as of Tuesday morning in the U.S. had risen nearly $8 or more than 8% per barrel, reaching $103.65 in trading of West Texas Intermediate crude on the New York Mercantile Exchange.
The impact will be felt soon on prices at the pump as AAA reported the national average is $3.61, up 26 cents per gallon in the past month and 8 cents higher than a week ago.
“Russia’s invasion and the responding escalating series of financial sanctions by the U.S. and its allies have given the global oil market the jitters,” said Andrew Gross, AAA spokesperson. “Like the U.S. stock market, the oil market responds poorly to volatility. It’s an explosive situation, and a grim reminder that events on the far side of the globe can have a ripple effect for American consumers.”
Here’s how it affected Oklahoma. The state’s average price per gallon is $3.29, up two cents over one day and 9 cents more than a week ago. A month ago, Oklahoma’s average was $3.09 while a year ago, motorists paid an average $2.49 per gallon.
Oklahoma City’s average price was $3.27 this week, up 2 cents in the past day and 11 cents higher than a week ago. A month ago, the city’s average was $3.03.
Tulsa motorists pay an average $3.26 this week, a penny higher than the previous day and 11 cents higher than last week. The city’s average a month ago was $3.06.
Highest average in the state is $3.68 a gallon in Coal County in the southeast followed by $3.55 in Harmon County in the southwest. Ellis County in the northwest has an average of $3.49.
The lowest average is Comanche County where Lawton is the County seat and motorists pay an average of $3.05 per gallon.
According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks decreased by 600,000 bbl to 246.5 million bbl last week. Meanwhile, gasoline demand rose slightly from 8.57 million b/d to 8.66 million b/d. The increase in gas demand and a reduction in total supply contribute to rising pump prices. But increasing oil prices play the lead role in pushing gas prices higher. Pump prices will likely continue to rise as crude prices continue to climb.