Higher oil prices, the loss of some refining capacity and higher world demand have pushed up U.S. gasoline prices more than they usually track in the winter. So far in February, a gallon of gas nationwide costs $3.56, up from $3.44 in January.
Because they are shelling out more at the pump than usual this winter, consumers have less to spend elsewhere.
The strain is likely to get worse. That’s because gasoline prices typically rise in the first half running up to the summer driving season.
via Odd Retail Data Aren’t as Worrying as Rising Gas Prices – Real Time Economics – WSJ.
Higher oil prices are one of the major reasons that the Obama administration has hesitated to put restrictions on the Iranian Central Bank. With the reasons cited and the trouble in Nigeria, we might get the higher gas prices that the stock market is predicting. What will be the impact on US and Israeli deliberations about an attack on Iran?