Houston Gas Prices Up Sharply, Still Below National Average
by: David Pitman, December 6, 2010 9:12:00 pm
The gasoline price tracking website Gasbuddy.com says the average gallon of regular unleaded in Houston is going for $2.75. That's up more than 12 cents in the past week and almost 30 cents higher than this time last year.. Patrick DeHaan is the website's senior petroleum analyst.
"Money is flowing into crude oil with the expectation that demand will rise as the economy recovers. Demand has increased slightly versus last year, supply has dropped slightly versus last year. So a culmination of speculation and supply and demand is what's driving prices up."
DeHaan says drivers filling up in the Houston area probably won't have to pay $3 for a gallon of regular before January 1st.
"I would say that the top would bottom out anywhere from about $2.80 to $2.90 a gallon. So we will see prices increase, but I don't think Houston will see that $3 a gallon gas that a lot of the rest of the nation will be seeing."
Gasbuddy.com says the national average is $2.94. Several parts of the Northeast are already above the $3 mark, as refineries focus on producing more home heating oil.