Gasoline prices in US hit highest level since August 2022

Gasoline prices in the US surged to their highest level since August 2022, as oil prices continued to climb following the stalled peace talks between the US and Iran.

According to data from the American Automobile Association (AAA) on Tuesday, the average price per gallon (approximately 3.78 liters) reached $4.18, up 6 cents day-on-day (DoD), the largest single-day increase in five weeks.

Andy Lipow, president of Lipow Oil Associates, told CNN that the US market is under pressure due to declining inventories, with gasoline stockpiles falling below 230 million barrels, compared to typical levels of around 250 million.

Lipow predicted that gasoline prices would continue to rise, reaching $4.30 per gallon within a week to ten days, as US exports increase to compensate for the supply shortages in the Middle East.