DETROIT (WWJ) – Drivers filling up their tanks heading into the weekend may see an unpleasant surprise at the pump, a price hike one expert calls “virtually unexplainable.”
The price for a gallon of self-serve regular gasoline is up in the $3.65 to $3.75 range. For some gas stations, this will mean increasing prices as much as 35-cents per gallon compared to prices earlier this week.
“The rise in gasoline prices is virtually unexplainable given the $14/bbl drop in oil prices compared to two weeks ago,” GasBuddy Senior Petroleum Analyst, Patrick DeHaan said. “While oil prices have rebounded from their low a few days ago this hike certainly was a surprise, even to me.”
Although, DaHann did offer a small explanation as to the hike in prices.
“Oil prices have bounced up a bit. The stock market is coming back, oil prices are coming back and unfortunately, stations were apparently quite close to losing money and so they bumped up prices,” he said.
Early Friday afternoon, AAA Michigan estimated the statewide average price for a gallon of gas to be $3.63, with a national average price of $3.60. A year ago, the average price for a gallon of gas in Detroit was $2.84, according to AAA’s Daily Fuel Gauge Report.
“This is something still developing. Stations are raising their prices as we speak here this noon hour, so be on the lookout. If you see a station selling under $3.50, it may be a good idea to fill up and save some money,” DeHann said.
But as reported on GasBuddy.com, not all pumps are feeling the increase just yet. Several gas stations in the Metro area are posting prices around the $3.40 mark.