Global Tensions Push Oil Prices Higher, and Pump Prices Follow
AURORA, Ill., (January 31, 2022) – Uncertainty over Russia's intentions toward Ukraine is contributing to higher crude oil prices, which are closing in on $90 per barrel. Russia is a member of OPEC+, and any sanctions based on their actions toward Ukraine may cause it to withhold crude oil from the global market. Higher oil prices will lead to higher pump prices for drivers. The national average for a gallon of gas has risen to $3.36, three cents more than a week ago. "At the moment, only one person knows why Russia is threatening Ukraine, and that's Russian President Vladimir Putin," said Molly Hart, spokesperson for AAA – The Auto Club Group. "And the tensions along the Ukrainian border have helped push crude oil prices higher almost daily." According to new data from the Energy Information Administration (EIA), total domestic crude stocks increased by 2.4 million bbl to 416.2 million bbl. The current crude stock level is approximately 13 percent lower than in mid-January 2021, contributing to the pressure on domestic crude prices. Continued growth in crude oil prices has helped maintain elevated pump prices. If oil prices continue to climb toward $90 a barrel, pump prices will likely follow suit. Today's national average of $3.36 is eight cents more than a month ago and 94 cents more than a year ago. Monday Sunday Week Ago Month Ago One Year Ago National $3.366 $3.363 $3.331 $3.285 $2.422 Chicago Metro $3.618 $3.617 $3.558 $3.462 $2.657 Chicago City $3.827 $3.817 $3.787 $3.802 $2.828 Bloomington $3.441 $3.446 $3.361 $3.206 $2.544 Champaign $3.470 $3.468 $3.411 $3.226 $2.525 Peoria $3.471 $3.474 $3.426 $3.373 $2.562 Rockford $3.429 $3.429 $3.408 $3.253 $2.561 Springfield $3.408 $3.410 $3.402 $3.291 $2.544 Fort Wayne, IN $3.272 $3.275 $3.053 $2.903 $2.426 South Bend, IN $3.247 $3.257 $3.095 $2.993 $2.386 Click here to view current gasoline price averages Oil Market Dynamic At the close of Friday's formal trading session, WTI increased by 21 cents to settle at $86.82. The cost of crude oil rose last week despite EIA reporting that total domestic crude stocks increased by 500,000 bbl to 413.8 million bbl. The current crude stock level is approximately 15 percent lower than in mid-January 2021, contributing to pressure on domestic crude prices. For this week, crude prices could continue to climb if EIA's next weekly report shows a decrease in total inventory. Motorists can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad and Android. The app can also be used to map a route, find discounts, book a hotel and access AAA roadside assistance. Learn more at AAA.com/mobile. # # #