BOSTON (CBS) – We’ve been warned by the experts that the price of everything is going up, including gasoline.
Crude oil prices have been climbing steadily. They’re up $8 a barrel in the last week, putting it above $93 a barrel now.
That translates to higher gasoline prices.
“The price spike that we’ve seen on the Libyan situation, this $8, just on the math, a breakdown on the barrels, is going to be good for 20-to-25 cents a gallon higher than what we’re seeing already at the pump,” oil industry analyst John Kilduff told WBZ NewsRadio 1030.
“So, it’s a staggering figure when you figure that the average across the United States is $3.14. This gets us upwards of $3.50 a gallon in many locations.”
WBZ NewsRadio 1030’s Deb Lawler talks to Kilduff
He also notes the situation in the Middle East isn’t helping.
“Certainly the way the dominoes have been falling, one after the next, and the way the crisises are encircling, literally, Saudi Arabia, country after country now, $4 looks pretty likely here into the spring.”
“If the kingdom (of Saudi Arabia) gets threatened at all, that’s it. I mean they’re the number one producer by far. They put 8 million barrels on the global market, 10-percent of global consumption comes from the kingdom, so it’s all bets off.”
Kilduff said the last time gas approached the $4 a gallon mark it “broke the backs of consumers” during the recession.
WBZ NewsRadio 1030’s Carl Stevens talks to drivers in Roxbury