Rising oil prices are driving the cost at the pump higher
Gasoline prices at gas stations in the United States hit a new all-time high on Tuesday, according to the American Automobile Association (AAA).
The average retail price of a gallon of gasoline hit $4,374 early Tuesday, AAA said, beating the old record of $4,331 set in March.
The increase is mainly due to the high cost of crude, which hovered around $100 a barrel last week and is now approaching $110, the association explains on its website.
Brent crude futures, the main global benchmark, are actually down 7% since March 30. As a result, gas prices fell slightly in April, but are now up around 10%.
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The retail price of diesel fuel also hit a record high this week, hitting $5.45 a gallon.
A recent survey found that increasingly expensive fuel has forced about two-thirds of vehicle owners in the United States to change their driving habits.
Oil prices have been pushed higher by the closure of some US refineries during the pandemic, while others are nearing full capacity, according to data from the Energy Information Administration.
Global fuel stocks are shrinking as demand has recovered to pre-pandemic levels, while production has yet to catch up. Oil supplies dwindled further after Russia, a major oil exporter, launched its offensive in Ukraine, prompting the US, EU and their allies to impose sanctions on Russia and ban or plan to phase out the country's oil.