VANCOUVER (NEWS1130) – If your gas tank is running low, expect a shock at the pumps this weekend.
Oil reached $106 a barrel yesterday and analysts are warning the spike in prices could last another two weeks.
ABC’s Senior Business Editor Sandy Cannold says there’s a number of reasons. “Some of it is related to Egypt, some of it is related to summer driving season, some demand going further. Also, some is clearly speculation in the energy and oil markets.”
Dan McTeague, who runs the website tomorrowsgaspricetoday.com, says investor thirst for black gold over the precious metal kind is largely to blame. “You’ve got financial money, pension money, all being thrown out of gold and getting out of stocks and going right back into the safe haven of US currency or oil. That’s really what’s driving this more than anything else.”
The average price in Vancouver is just under $1.50 a litre, while across Canada it’s around $1.32 a litre.