Gas Prices Are Soaring, I Pay $3.28, How Much Do You Pay?

Mish

The US gasoline price average is $2.78 per gallon. But prices vary widely by region and state.

Southern Utah Gas Price

The price I paid today in Southern Utah is $3.279 per gallon as captured above. 

Note the octane ratings: 85, 87, 89, 91. In the Midwest I never saw 85. 

Here, depending on station, the ratings are frequently 85, 88, 91. So you have to be careful about what you are putting in the tank.

Cash Price

Gas Cash Price

Given that no one wants to handle cash, the real price, but for wimpy 85 octane is $3.149 per gallon.

US Gasoline Prices 2020-Present

US Gasoline Prices 2020-Present

I created these chart from a US EIA Energy Information Administration data download.

US Gasoline Prices 2000-Present

US Gasoline Prices 2000-Present 2021-03-22

There is a much wider variance in gas prices by region and state now vs 2000-2009.

Gasoline Prices Roar Back

Gasoline Prices Pre-Covid vs Now 2021-03-22

The national average gas price per gallon was $2.37 before Covid hit. The price plunged to $1.66 for the week of April 27, 2020 and has since roared back to $2.78 per gallon.

Gas Taxes 

How high are Gas Taxes

The above chart from the Tax Foundation. 

California pumps out the highest tax rate of 62.47 cents per gallon, followed by Pennsylvania (58.7 cpg), Illinois (52.01 cpg), and Washington (49.4 cpg).

You’ll find the lowest gas tax in Alaska at 13.77 cents per gallon, followed by Missouri (17.42 cpg) and Mississippi (18.79 cpg).

Regional and Local Variances

The Wall Street Journal says Leap in Gas Prices Puts $3 a Gallon in Sight.

We are already there and then some where I am. 

Moreover, to put a spotlight on local variances, I was in Death Valley last week. There I paid $5.00 a gallon. 

Fed Commits to "Full Range of Tools" Seeks Inflation Above 2% "For Some Time"

Please recall Fed Commits to "Full Range of Tools" Seeks Inflation Above 2% "For Some Time"

By my estimation, we are already there.

Meanwhile, please note Inflation is Poised to Soar, 3% by June is "Almost Certain"

Finally, please consider a Reader Question: What Would I do Differently Than the Fed?

Mish 

Comments (42)
No. 1-29
Dutoit
Dutoit

Here in France it is $6.45 for gas (60% of taxes) and $5.8 for diesel.
This is for cars.
But fuel oil for heating (that works also for cars, but this is forbidden) is $0.92

JJKthree
JJKthree

$@.79 this AM in St. Petersburg FL

Scooot
Scooot

It’s the equivalent of $1.73 per litre here in the UK -:)

Eddie_T
Eddie_T

Looks like $2.18 per gallon at Sam’s Club, which is where I buy most of the time.

randocalrissian
randocalrissian

$3.09 Central PA - that's with just about the highest state fuel tax. We paid $2.55 at the peak of the Hurricane Katrina spike 16 yrs ago, and fuel tax in PA was much lower then, so this is not really a price increase, more like small currency devaluation and large tax increase comprise 100% or more of the move up.

RandyAZ
RandyAZ

I’m paying about $0.65/kWh out of my rooftop solar to my Chevy Bolt EV, around 110eMPH equivalent.

Rbm
Rbm

3.41 in slightly northern ca. Its funny how the trumpers i know talk about how cheap gas was when he was president. They blame Biden for the higher gas prices. Wont even listen about supply and demand during pandemic.

Greenmountain
Greenmountain

Always interesting how fast it goes up. Wonder what happened to all the excess oil that was sitting in ships when prices were falling. Remember when oil companies were paying for storage. Are companies playing with supply?

nick2you2
nick2you2

South Jersey prices not too bad. $2.80 to $3.00. Cross over to PA and ad about 15%.
They just bumped us 23 cents a gallon over a year ago. Goes nicely with top 3 highest property taxes in nation!

Casual_Observer
Casual_Observer

Ban derivatives trading on commodities and I guarantee you all commodity prices will come in line with demand. Traders who never take delivery of the end product are the bigger problem overall for the economy.

PecuniaNonOlet
PecuniaNonOlet

The more interesting question is how much will gas go up that will be the breaking point for people to go electric. As vehicles move to ev, the demand for gas will go down and so too will the production then prices will go up to caviar-like prices. It will be a vicious spiral for gasoline.

I see gasoline ratcheting up to european prices in the near future (5 years) plus consumers will have the “scarlet letter” of being dirty polluting gas consumers. Wont be surprised to see new “dirty fuel” taxes imposed on gasoline like cigarettes.

JimK
JimK

Nearly $4/gal for 91 octane in Kalifornia

TexasTim65
TexasTim65

2.05 at Sams Club to around 2.90ish at the various local stations for regular gas (lowest octane level). Premium is in the 3.40 range.

That's in West Palm Beach, Florida area.

Doug78
Doug78

"Reader Question: What Would I do Differently Than the FED?

I would prime the economy by sending cash directly into peoples' bank accounts until it starts to fly. Put inflation on the backburner for awhile till we get there. A roaring economy gives workers bargaining power. We have asset bubbles in any case so might as well go for growth also this time around.

Mr. Purple
Mr. Purple

$3.89 for 91 octane in Orange, CA.

Sechel
Sechel

Unless you insist on driving an Escalade or a V8 Dodge truck our exposure to higher gas prices is far less than in decades past. Even my 2006 325 with an inline 6 gets close to 30 mpg highway

ColoradoAccountant
ColoradoAccountant

The lower octane in the West is due to the altitude, lower oxygen levels. You will find your levels the same in Colorado.

bubblelife
bubblelife

In Dallas, 93 octane for $3.97 at a gas station near my house and $2.94 at a station about three miles away.

Dubronik
Dubronik

$0. Electric Car + Solar

oee
oee

$ 0.00 ; i am in lockdown mode until i get my jabs

Jojo
Jojo

$3.84 for 91 premium at local Costco SSF, CA. There has been a 0.75/gal increase since Jan 1 at my Costco. But will not have any effect on inflation numbers as energy isn't included in the core measure, yes?

LawrenceBird
LawrenceBird

2.83 in a blue state with the same tax rate as Utah. Checking AAA, I see that N. Mexico is a lot cheaper than Utah as well.

BTW - Both WTI and RB are about the same levels as they were this time in 2019. Yeah it was nice when crude was at $20.

JonSellers
JonSellers

US production is down about 3 million gallons/day from its peak. COVID put a bullet in the back of the head of the fracking industry as demand collapsed for an already unprofitable product. I doubt it will recover to prior heights as the Biden administration isn't willing to look the other way at the mass pollution.

Couple this demand collapse with an anticipated surge in summer time travel as folks get vaccinated and expect oil prices to surge over the summer before settling in to a higher new normal.

Casual_Observer
Casual_Observer

I dont see how anything below $4.50 is "soaring".

Shd01
Shd01

$6.53 per US gallon in the UK today.

SHOfan
SHOfan

$2.89 in U.P. of Michigan

Gorby
Gorby

Go to Google Maps

Type in the location e.g., Phoenix

Clear the search box (e.g. delete "Phoenix") and you'll see some buttons underneath the blank search box like "restaurants" and "gas"

Tap gas, then "list" (lower right)

Look at the prices

Sechel
Sechel

this seems to be a thing at the moment on conservative social media. why its now here beats me

Nonpartisan
Nonpartisan

My car gets 33 miles per gallon overall. Despite the rise in gas prices, it seems every Joe and Jane around me still feels compelled to drive a massive truck or Jeep Grand Cherokee.


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