Mar 1, 2022 - Energy & Environment

No relief in sight at the pump as gas prices surge

Data: FactSet; Chart: Axios Visuals
Data: FactSet; Chart: Axios Visuals

Global energy costs were already surging before Russia invaded Ukraine, and Americans aren't going to get relief at the pump any time soon.

Driving the news: U.S. gasoline futures climbed to the highest level in nearly eight years Monday.

  • That means there's little sign of relief in sight, as national retail gas prices average $3.60 a gallon, according to AAA.
  • Consumer gasoline prices were up 40% in January from the prior year.

Why it matters: The West has been remarkably unified in response to Russia's attack.

  • But it's only been a few days, and politicians could come under pressure to break ranks as consumers face sanctions-related inflation.

Yes, but: The gasoline surge isn't all bad news, it also reflects the fact American gasoline demand is back to its pre-COVID levels, as the pandemic finally recedes and people get back on the road.

Go deeper: The U.S. is now energy independent

Go deeper