This time of year, gas prices are typically low; but with the unrest in Egypt and Libya, oil prices are spiking to the highest point ever for a February at over $100 a barrel. That translates to $3.49 a gallon for regular unleaded in the Twin Cities of Minnesota, over $4.00 a gallon in California and a national average of $3.29 a gallon.
That kind of price-at-the-pump are causing consumers to return to anger and frustration similar to the summer of 2008, and raises fears for where prices might head this summer. Saudi Arabia is said to be considering increasing production to bring the price down to sub-$100/barrel levels, but so far that action has not realized a lower market price.
If gas prices continue to spike, it could spell doom for the economy, at least in the short term, and could also spell disaster for Obama’s re-election hopes. However, if the GOP can get some domestic drilling reform passed into law, there could be relief on the way. Either way, pump prices need some solution to achieve some financial weight loss products‘ results sooner rather than later.