June 2012

For the latest report, please visit

www.api.org/gasolineprices

America’s Oil and Natural Gas Industry

What’s Up WithGasoline Prices?

 

What’s Up With Gasoline Prices?|June 2012

Gasoline, Diesel, and Crude Oil PricesPage 1Oil Prices Relate to Many Uncertain FactorsPage 2World Liquid Fuel ConsumptionPage 3Growth in World Liquid Fuel ConsumptionPage 4OPEC Surplus Crude Oil Production CapacityPage 5Accumulating Risks to the Development of Oil and Natural GasPage 6Sources of Crude and Product SupplyPage 7Strategic Petroleum ReservePage 8Commodity PerformancePage 9West Texas Intermediate Crude in Dollars, Euros, and YenPage 10EIA Price ForecastPage 11What Consumers are Paying for at the Gasoline PumpPage 12Gasoline Taxes by StatePage 13Fuel-Saving Tips for DriversPage 14

Table of Contents

 

Page 1What’s Up With Gasoline Prices?|June 2012

Changes in gasoline anddiesel prices mirrorchanges in crude oil prices.

The roller coaster rise and fall in gasolineand diesel prices over the last few yearstracks changes in the cost of crude oil.Those changes are determined in theglobal crude oil market by the worldwidedemand for and supply of crude oil. Weakeconomic conditions in the U.S. andaround the world in 2008 and into 2009led to less demand which helped pushprices down. With the worldwide economic recoveryunderway, demand is on the rise again but unrest in the Middle East and NorthAfrica has put supplies at risk. Thiscombination of rising demand and reducedsupply helped to push prices higher.

Gasoline, Diesel and Crude Oil Prices

Source: NYMEX (WTI crude oil) and AAA (gasoline and diesel).