Oil Prices Likely to See Upward Pressure

‘Oil prices could rally this week, pushing gasoline prices higher as early as mid-week.’ — Patrickk DeHaan

Average gasoline prices in Riverside have risen 2.6 cents per gallon in the last week, averaging $4.75/g today, according to GasBuddy’s survey of 481 stations in Riverside. Prices in Riverside are 0.7 cents per gallon higher than a month ago and stand 142.6 cents per gallon lower than a year ago. The national average price of diesel has fallen 3.4 cents in the last week and stands at $3.88 per gallon.

According to GasBuddy price reports, the cheapest station in Riverside was priced at $4.07/g yesterday while the most expensive was $5.29/g, a difference of $1.22/g. The lowest price in the state yesterday was $3.89/g while the highest was $6.77/g, a difference of $2.88/g.

The national average price of gasoline has fallen 3.9 cents per gallon in the last week, averaging $3.51/g today. The national average is down 1.7 cents per gallon from a month ago and stands 134.5 cents per gallon lower than a year ago, according to GasBuddy data compiled from more than 11 million weekly price reports covering over 150,000 gas stations across the country.

Historical gasoline prices in Riverside and the national average going back ten years:

• June 5, 2022: $6.18/g (U.S. Average: $4.85/g)
• June 5, 2021: $4.14/g (U.S. Average: $3.05/g)
• June 5, 2020: $2.90/g (U.S. Average: $2.01/g)
• June 5, 2019: $3.82/g (U.S. Average: $2.78/g)
• June 5, 2018: $3.70/g (U.S. Average: $2.94/g)
• June 5, 2017: $3.00/g (U.S. Average: $2.37/g)
• June 5, 2016: $2.79/g (U.S. Average: $2.36/g)
• June 5, 2015: $3.72/g (U.S. Average: $2.76/g)
• June 5, 2014: $4.10/g (U.S. Average: $3.66/g)
• June 5, 2013: $3.95/g (U.S. Average: $3.62/g)

Neighboring areas and their current gas prices:

• San Bernardino —$4.73/g, down 1 cent per gallon from last week’s $4.74/g.
• Orange County — $4.85/g, down 1.4 cents per gallon from last week’s $4.86/g.
• Los Angeles —$4.87/g, up 0.8 cents per gallon from last week’s $4.86/g.

“While the national average drifted lower last week as oil prices cooled off, the drop may be temporary. OPEC+ agreed Sunday to additional production cuts, while Saudi Arabia is going above and beyond and cutting July production. As a result, oil prices are likely to see upward pressure as global supplies, which have remained tight, promise to become even tighter as a result,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “Last time OPEC+ agreed to cut production, it led to a temporarily rally in the price of oil, but as global oil demand hasn’t been as strong as expected, the cut failed to hold oil prices up. OPEC+ and Saudi Arabia are likely hoping that the rise in oil prices will stick longer this time, as the Saudi economy relies on oil prices north of $81 per barrel. It’s likely that as a result of the production cut, oil prices could rally this week, pushing gasoline prices higher as early as mid-week. How long any rise in gas prices lasts is up in the air, but I do not yet believe motorists need to be worried. Any rise in average prices should be fairly small, and we’re still extremely unlikely to make a run at record prices anytime soon.”

GasBuddy data is accessible at http://prices.GasBuddy.com.