MOLINE, Ill. — Financial Advisor Mark Grywacheski with the Quad Cities Investment Group joined News 8's Shelby Kluver Monday, May 30 on Good Morning Quad Cities to discuss the nationwide hike in gasoline prices and what it means for the summer driving outlook.
Find the full conversation below.
Kluver: According to data from AAA, gasoline prices are once again setting new all-time record highs. So now that the summer driver season is formally upon us, what's the latest data on gasoline prices?
Grywacheski: We're gonna go through the numbers good, bad, ugly anyway. Unfortunately, we're right in the middle of yet another surge in gasoline prices. And today being the start of the summer driving season it couldn't come at a worse time.
As you mentioned, the national average here in the United States is $4.60 a gallon an all-time record high. This is the first time in history that the average cost for a gallon of gas in all 50 States is now above $4.
Last week alone, gas prices rose 11 cents, the third consecutive week of a double-digit price increase. Since Jan. 1 gas prices have increased $1.28 over the last 12 months $1.58 higher. This represents a 50% increase over the year and unfortunately, many experts are projecting that this national average goes even higher to about $5 A gallon in the upcoming months.
How do Illinois and Iowa compare to the rest of the nation in terms of gas prices?
Well, there are a there is a tremendous difference in gas prices from one state to the next and one of the main variables is those state gasoline taxes that are added to the purchase price every time you fill up your gas tank.
Now, remember the average price here in the United States is $4.60 a gallon. California though — the highest average cost in the land -— (gas is) $6.06 a gallon. Hawaii is number two at $5.42 a gallon. (The) lowest average cost in the land is Oklahoma at $4.08 a gallon.
But to your point, there is a big difference in gas prices between Illinois versus Iowa. Illinois is the seventh-highest average cost in the nation at $4.98 a gallon. Chicago, even higher at $5.40 a gallon. So if anybody is planning a little bit of a road trip to Chicago this weekend, make sure you fill up outside the city limits. But look here Iowa - very respectable at $4.23 cents a gallon — 37 cents below that national average.
And how do prices compare closer to home here in the Quad Cities?
Well here in the Quad Cities, the price you pay at the gas pump is very dependent on which side of the river you do fill up on. On the Illinois side of the Quad Cities, the average cost is $4.70. Gas prices on the Illinois side have increased by 47 cents over the last month, up to $1.55 over the last 12 months.
Now on the Iowa side of the river the average cost is 52 cents cheaper at $4.18 a gallon. That's a 38% increase over the last 30 days and $1.31 over the last year. And depending on your size of the car, that comes to about a $6 to $12 savings every time you fill up your gas tank on the Iowa side of the river.
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Watch "Your Money with Mark" segments Mondays during the 5 a.m. hour of Good Morning Quad Cities.
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