WASHINGTON, D.C. (January 18, 2022) — Gasoline prices rose a penny last week, driven primarily by the cost of crude oil, which has vaulted above $80 a barrel. The primary reason for the rise in oil prices is the perception that the COVID-19 omicron variant may ebb, allowing the world’s economic engines to kick into high gear. The potential increase in oil demand, coupled with lagging crude production, will only increase prices. Since the price of oil accounts for roughly half of what consumers pay at the pump, higher oil costs will likely result in higher gasoline costs. The national average for a gallon of gas rose one cent to $3.31.

“In the past few weeks, we have seen the price for a barrel of oil slowly work its way from the mid-$60s to the low $80s,” said Andrew Gross, AAA spokesperson. “And the primary reason is global economic optimism, whether well-founded or not, that the worst of COVID may soon be behind us.”