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Published March 29, 2009 08:57 pm -

Gas prices start to creep back up


By Cathy Spaulding
Phoenix Staff Writer

Two men filling up at the Phillips 66 at 1910 N. Main St., had differing opinions on how much they paid for gas.

Paul Hood said, “I don’t know why it keeps going up, with crude prices going down. Did a hurricane go through Louisiana? Here we are in a recession, and everything is going up.”

Bob Richey said, “Gas has been too cheap for a while. Crude is too cheap, the price needs to come up. The market has been skidding for too long.”

The price of gas is rising at area pumps, edging above $2 for premium gas at some Muskogee stores.

For the first time in four months, the average retail price of gasoline has topped $2 per gallon, according to a media release by AAA. Oklahoma’s averaged 10 cents less, according to the release.

“Isolated signs that the economy is strengthening has increased demand for oil, causing futures prices for the commodity to rise,” AAA Oklahoma spokesman Chuck Mai said. “That is what is driving gas prices now, coupled with a weakened U.S. dollar and the prospect for higher demand for gasoline as the summer driving season approaches.

The automobile association’s annual Fuel Gauge Report shows self-service regular gasoline selling for an average of just under $2.01 nationwide. The last time the benchmark price was more than $2 per gallon was on Nov. 20.

Oklahoma’s statewide average for self-serve regular now stands at $1.90 per gallon. A random check of service stations in Muskogee indicated an average cost of $1.89 per gallon of self-serve regular gas.

Troy Davis, who works at the Phillips 66, said on Friday afternoon that the price of regular rose to $1.92 that morning. He said many people filled up right before the price rose.

“People come in and ask us if the price is going up and if we know, we tell them, if we know,” he said.

Keith Davis, co-owner of Davis Oil Co., of Tahlequah said the price of gas has gone up a lot over the past few months. Davis Oil distributes gasoline to area Sinclair stations.

“Part of it has been the stock market rising, tracking the price of crude gas,” he said.

The Wall Street Journal reported that traders have bid up oil prices, believing that a turnaround in the economy could boost demand for crude.

“It happens every year,” Davis said. “We buy fuel as we need it and the need goes up as it comes up on spring.”

He said gas prices are considerably lower than what they were last summer. Last August, prices got up to more than $3.70 a gallon.



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