U.S. Markets closed

  • S&P Futures

    3,828.25
    +2.75 (+0.07%)
     

  • Dow Futures

    30,958.00
    +25.00 (+0.08%)
     

  • Nasdaq Futures

    11,684.50
    +10.25 (+0.09%)
     

  • Russell 2000 Futures

    1,739.60
    +1.30 (+0.07%)
     

  • Crude Oil

    111.36
    -0.40 (-0.36%)
     

  • Gold

    1,823.20
    +2.00 (+0.11%)
     

  • Silver

    20.80
    -0.01 (-0.03%)
     

  • EUR/USD

    1.0533
    +0.0008 (+0.0737%)
     

  • 10-Yr Bond

    3.2060
    +0.0120 (+0.38%)
     

  • Vix

    28.36
    +1.41 (+5.23%)
     

  • GBP/USD

    1.2206
    +0.0021 (+0.1733%)
     

  • USD/JPY

    136.0260
    -0.1020 (-0.0749%)
     

  • BTC-USD

    20,348.19
    -325.91 (-1.58%)
     

  • CMC Crypto 200

    440.88
    -9.18 (-2.04%)
     

  • FTSE 100

    7,323.41
    +65.09 (+0.90%)
     

  • Nikkei 225

    26,806.33
    -243.14 (-0.90%)
     

Gasoline Futures Set a Record as Pump Prices Verge on $5

  • Oops!
    Something went wrong.
    Please try again later.
Chunzi Xu
·1 min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • RB=F

(Bloomberg) -- Gasoline futures settled at a fresh record with the average US retail price just cents away from reaching $5 a gallon for the first time.

Most Read from Bloomberg

Futures traded on the New York Mercantile Exchange, referred to as RBOB, closed Thursday at 427.62 cents a gallon, almost double where they were a year ago. Spiking fuel contracts in financial markets translate into higher costs at the pump for drivers just as the US enters peak travel season.

Americans took to the road over Memorial Day weekend, the traditional kickoff to the summer driving season, consuming 9.2 million barrels a day of gasoline in the process, the highest weekly number this year, data from the Energy Information Administration show. Meanwhile, gasoline inventories are at a multi-year seasonal low.

While high gasoline prices appear to be denting the pace of demand growth, consumption is still expected to increase over the summer.

“Prices are already at levels that should cause demand destruction,” said Amrita Sen, director of research at consultancy Energy Aspects Ltd., this week in Calgary. But pent-up demand and personal savings from the pandemic will continue to spur travel, she said.

High outright prices for wholesale gasoline have begun to draw exports from other markets. A flotilla of European gasoline is expected to arrive to the US East Coast, which will serve to shore up regional stockpiles that are the emptiest they have been in more than a decade.

The gasoline surge is also showing up at the pump for consumers. The latest data showed average US pump prices are at $4.986 a gallon, according to the American Automobile Association.

(Updates with latest retail gasoline prices in final paragraph.)

Most Read from Bloomberg Businessweek

©2022 Bloomberg L.P.

Recommended Stories

  • Russian Industry Faces Code Crisis as IT Providers Pull Out

    (Bloomberg) -- Russia’s reliance on foreign software to run its factories, farms and oil fields is turning into one of the biggest headaches for domestic industry as more IT providers pull out of the market in response to President Vladimir Putin’s invasion of Ukraine. Most Read from BloombergRussia Slips Into Historic Default as Sanctions Muddy Next StepsBig Tech Sinks Stocks Bruised by Recession Jitters: Markets WrapChina Cuts Travel Quarantine in Biggest Covid Zero Shift YetMichael Burry of ‘

  • G7 discussions with China, India on Russian oil price cap positive -source

    Group of Seven democracies have had positive and productive discussions with China and India about a plan to cap the price of Russian oil, a source familiar with the G7 discussions said on Tuesday, adding the two major oil consumers would have incentives to comply. The source, speaking on condition of anonymity, said the price-per-barrel cap level had not yet been determined, but it would have to be high enough to give Russia an incentive to keep producing oil.

  • Top Natural Gas Stocks for Q3 2022

    These are the natural gas stocks with the best value, fastest growth, and most momentum for Q3 2022.

  • Tesla Has a New Rival on the Rise

    The maker of premium and high-end electric vehicles remains the market leader in electric vehicles but sees a threatening rival.

  • Are Oil Prices Heading Back To $120?

    Last week’s sell-off by speculators caused a temporary drop in oil prices, but physical tightness and falling spare capacity have stoked bullish sentiment once again

  • Chevron to sell East Bay headquarters, shift employees to Texas

    The world's second largest oil and gas company said it plans to leave behind its current headquarters for good in 2023.

  • WHITECAP RESOURCES INC. ACQUIRES XTO ENERGY CANADA IN AN ALL-CASH TRANSACTION AND INCREASES DIVIDEND BY 22%

    Whitecap Resources Inc. ("Whitecap" or the "Company") (TSX: WCP) is pleased to announce it has entered into a purchase and sale agreement to acquire XTO Energy Canada for total cash consideration of approximately $1.9 billion and the assumption of estimated positive working capital on closing for a net purchase price of $1.7 billion (the "Acquisition"). The Acquisition is expected to close before the end of the third quarter, subject to customary closing conditions, including the receipt of nece

  • Walgreens scraps plans to sell British drugstore chain Boots

    Yahoo Finance Live anchors discuss Walgreens’ decision to retain ownership of its British drugstore chain Boots.

  • Top REITs for July 2022

    Real estate investment trusts (REITs) are publicly traded companies that allow individual investors to buy shares in real estate portfolios that receive income from a variety of properties. They allow investors to invest easily in the real estate sector, which includes companies that own, develop, and manage residential, commercial, and industrial properties.

  • Top Utilities Stocks for July 2022

    These are the utilities stocks with the best value, fastest growth, and most momentum for July 2022.

  • Sony's Next Big Thing in Tech Is Helping Honda Take On Tesla

    (Bloomberg) -- In early 2020, Sony Group Corp. Chief Executive Officer Kenichiro Yoshida took the stage at the Consumer Electronics Show in Las Vegas — the tech industry’s main annual event — and announced a once-in-a-decade pivot: the Japanese electronics maker was joining the electric vehicle race.Most Read from BloombergRussia Slips Into Historic Default as Sanctions Muddy Next StepsBig Tech Sinks Stocks Bruised by Recession Jitters: Markets WrapChina Cuts Travel Quarantine in Biggest Covid Z

  • EOG Resources: More Attractive the Lower It Goes

    A look at the company and its positioning as a leading oil and gas name

  • Natural Gas Price Forecast – Natural Gas Markets Bounce on Tuesday

    Natural gas markets have had a bit of a bounce during the day on Tuesday, to break back above the $6.50 level. However, there are still plenty of headwinds.

  • Goldman, Wells Fargo lead dividend buffet after Fed stress test

    Megabanks reveal shareholder payout plans after the Fed completes its stress tests, with Goldman and Wells leading the group with 20% dividend hikes

  • Russian Gas Cuts Threaten World’s Largest Chemicals Hub

    Dwindling Russian gas supplies are proving a threat to chemicals companies and their disruption would reverberate well beyond the sector, threatening Europe’s economy at a time of high inflation and slowing growth.

  • U.S. Auto Sales To Show Fresh Declines In Q2 After GM, Ford, Stellantis Idled Factories Again

    Analysts are cutting the U.S. auto sales outlook for 2022, citing low vehicle inventories and high inflation.

  • Africa's dream of feeding China hits hard reality

    Watching workers poke avocados from the treetops in an orchard owned by Kenyan agriculture firm Kakuzi, managing director Chris Flowers revels in the thought some might soon go to the crown jewel of emerging consumer markets: China. Taking advantage of Beijing's deeper focus on trade with African countries to help reduce gaping deficits, Kenya struck an export deal with China for fresh avocados in January after years of lobbying for market access. Six months later, no shipments have left, Kenya's avocado society, the East African country's plant health inspectorate and Kakuzi told Reuters.

  • OPEC Meeting On Tap Amid Global Oil Supply Concerns

    OPEC meets Wednesday ahead of an OPEC+ gathering Thursday as world leaders focus on how to drum up global supply amid inflation and recession fears.

  • Commodity Prices Are Dropping. Why That’s a Recession Red Flag.

    Wheat, copper, and oil futures are all down. Strategists blame the declines on waning demand, which reflects recession worries.

  • SSR MINING HOSTS MINISTRY OF ENVIRONMENT, URBANIZATION AND CLIMATE CHANGE OFFICIALS AT ÇӦPLER

    SSR Mining Inc. (NASDAQ: SSRM) (TSX: SSRM) (ASX: SSR) ("SSR Mining" or the "Company") received a delegation from Turkey's Ministry of Environment, Urbanization and Climate Change ("Ministry of Environment") at the Çöpler mine in the afternoon of June 28th local time. The visit was the second from the Ministry of Environment in response to a leak of leach solution containing approximately eight kilograms of diluted cyanide at the Çöpler mine site on June 21st. As noted previously, the leak occurr