Gas Prices Still Rising After Drone Attacks
Taking a Sunday drive is getting more expensive.
Following recent events in Saudi Arabia, where a drone struck down two big oil refineries, gas prices are rising across America and the world. On average, Americans can expect to pay $2.73 per gallon for gasoline - 10 cents more than in August. Diesel has risen by 7 cents to $3.07 per gallon.
Average prices don’t tell the whole story. In San Francisco, drivers are paying $3.94 per gallon - the country’s highest rate. The cheapest place to fill up? Baton Rouge, Louisiana, where a gallon of gas will cost you just $2.24.
Oil prices surged 15% immediately after the September 14 drone attack. One of the refineries was responsible for nearly half of all Saudi oil production, so it’s unsurprising that the impact on the economy has been severe.
"Despite the fact that the US is the bigger producer of oil, things that disrupt supply on the other end of the globe can still hit us in the wallet," said Phil Flynn of The PRICE Futures Group.
For Americans, this is the biggest spike in gas prices since the devastating effects of Hurricane Harvey on refineries in Louisiana and Texas in 2017. Prices had been dropping for the past year, and even with the recent price hike, gas is still 18 cents cheaper than it was in 2018.
I have always thought of myself as a writer, but I began my career as a data operator with a large fintech firm. This position proved invaluable for learning how banks and other financial institutions operate. Daily correspondence with banking experts gave me insight into the systems and policies that power the economy. When I got the chance to translate my experience into words, I gladly joined the smart, enthusiastic Fortunly team.
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