Gasoline Prices in US Hit Eight-Month High in Biden Setback

Gasoline prices in the US surged to their highest level since November, a blow to drivers and a challenge for President Joe Biden.

(Bloomberg) — Gasoline prices in the US surged to their highest level since November, a blow to drivers and a challenge for President Joe Biden.

Average retail gasoline prices have increased almost 12 cents in the past three days to $3.714 a gallon on Wednesday, the second-highest for this time of year over the past decade, lower than only last year, according to auto-club AAA. The gains have been spurred by an extended outage at a major Gulf Coast refinery that’s threatening to drain already-low stockpiles.

The surge poses a risk to Biden, whose reelection next year hinges in part on stifling inflation and restoring consumer confidence. While the overall US inflation rate has eased over the past 12 months, gasoline prices are a highly visible, major expense for many voters.

Read More: Gasoline Is Surging All Over World in Fresh Inflation Blow

There are some signs the march higher might be losing steam. Prices rose less than 3 cents on Wednesday, after adding 4 cents to 5 cents a day at the start of the week. However, gasoline futures — the basis for wholesale prices — continued to climb on Thursday, possibly stalling any relief at the pump.

(Updates with refinery outage in second paragraph)

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