NEW YORK
Raw range from about $ 98 per barrel to about $ 102 per barrel this week. On Friday the benchmark oil falls to $ 2.21 to end at $ 98.33 per barrel in New York. The national average for gasoline is $ 3.38 per gallon Friday. Pump prices peaked at about $ 4 per gallon in May when crude oil approached $ 114 per barrel.
Oil and gasoline prices stay high because of the tensions present in the Middle East and concerns about Europe’s sliding into recession.
Iran has threatened to close the Strait of Hormuz in the Persian Gulf, if the United States and other countries dropped more sanctions on it because of its nuclear program. Many analysts doubt that Iran can arrange long blockade, but any supply shortage will cause inventory to tighten.
Gas prices likely to move up or down based on the results of PFGBest analyst Phil Flynn, said. If the situation calmed, the retail price of gas could fall from 25 cents to 50 cents per gallon. If the situation improved, prices could increase by that much.