Question: Where Are Gas Prices Heading?

I think you know the answer to this one -- unfortunately the answer is up, up, up. Why? Well the price of gas is already rather high and it's only May. Gas prices usually go up significantly in the summer thanks to more demand from vacationers. So you have high prices which will go higher -- not a good situation. The price of oil is a factor but also it's the refining capacity fo the United States which is a major problem. As demand goes up, supply follows, but the oil refining capabilities of the U.S. is pretty much fixed. This means the actually supply of gas (not oil) is restricted, thus raising prices higher with higher demand. $4.00 a gallon gas is coming.