With oil almost at $80, any Challenger issues?

You have an economy model. I only get 15-18 mpg with my auto. 6.1

 

We all have experienced escalating gas prices. This is due to lower global production and supply disruptions in the U.S.

What are you guys paying?

After doing some research, this is what I found out:

Gasoline was adversely affected by supply-chain issues.

Storms and hackers have shuttered production and transport of gasoline this summer, with Hurricane Ida temporarily closing most oil production in the Gulf of Mexico and several big refineries. The hurricane comes after a cyberattack in May took out a major fuel pipeline to the East Coast for nearly a week.

Jeffery Born, an energy markets expert at Northeastern University, said current gasoline prices are partly a result of production and refining capacity that was knocked offline by Hurricane Ida and partly a result of other shortages — even a shortage of tanker drivers.

Another factor is that Americans are driving at rates nearly 50% above their pre-pandemic level. Phil Flynn, an energy analyst at the Price Futures Group, said prices reflect demand that came back stronger than expected from the pandemic and lower U.S. oil production, compounded by events like the hurricane.

Energy economist Philip Verleger said gasoline prices are being propped up by U.S. independent producers and OPEC members limiting their oil production, by the cost of blending ethanol into gasoline and by lower gasoline inventories.

Tom Kloza, chief analyst for the Oil Price Information Service consulting firm, said Hurricane Ida and lingering effects on production and refining are causing summer-like prices to "linger for longer," especially east of the Rockies. He predicted that pump prices will soon ease in the West, Southwest and Rocky Mountain states.

There already are some signs retail gasoline prices have peaked, with the Energy Information Administration reporting last week that gasoline prices are likely to decline in coming months. It forecast that prices would average $3.14 a gallon in September before falling to $2.91 in the last three months of the year, as driving declines in the winter months and refining operations come back online after being damaged by the hurricane.