AAA: Oil hits $100 a barrel amid Russian invasion of Ukraine

Developments in the conflict between Russia and Ukraine have led future oil prices to rise to $100 a barrel – the highest since 2014 – but the full impact of how Russia’s invasion of Ukraine will affect global oil markets is uncertain, according to AAA.

Arkansas motorists are paying the lowest average price for regular gasoline at $3.20 per gallon, which is flat from last week and 79 cents more than last year, according to AAA. Mississippi has the second-lowest average price at $3.21 per gallon. Nationwide, the average price is $3.54 per gallon, which is two cents more than last week and 98 cents more than the same time last year.

“Recent geopolitical unrest and supply issues have pushed crude oil to its highest prices in seven years,” said AAA spokesman Nick Chabarria. “Drivers can expect to pay more at the pump as a result as the price of crude oil accounts for 50% to 60% of retail gasoline prices.”

Rounding out the top five states with the lowest average gas prices are Oklahoma ($3.21), Texas ($3.21) and Kentucky ($3.22). California motorists are paying the most for regular gasoline at $4.75 per gallon, according to AAA.

Patrick De Haan, head of petroleum analysis for GasBuddy, recently said he expects rising prices in the coming weeks, “especially if Russia pursues a strong-arm invasion of Ukraine.

“However, with nuclear talks between Iran and global powers ongoing in Vienna, the possibility exists that a new deal could bring Iran’s crude oil supply back to legitimate markets, helping to ease a slight portion of supply concerns,” he added.

De Haan noted that the traditional start to the spring surge in gasoline prices is a few weeks away and is brought on by the change to summer gasoline, seasonal maintenance at refineries and rising demand.