Slight pump price slip to be wiped by upswing that'll see $3.60 a gallon by June, study says
NEW YORK -- Retail gasoline prices pulled back slightly from record levels Tuesday and gave some consumers a small break, but a new government forecast said gas could reach as high as $4 a gallon during the summer driving season. In its monthly report on petroleum supplies and demand, the Energy Department's Energy Information Administration forecast that monthly average pump prices will peak near $3.60 a gallon in June, but could rise as high as $4 a gallon at times. That's a dime higher than the EIA's previous monthly average projection, and brings government forecasts closer to those of many analysts who expect gas prices to peak close to $4 a gallon. The government also predicted high prices will cut demand for gasoline at the height of the summer. The agency previously said petroleum consumption would rise by 40,000 barrels a day.
Source: The Detroit News