The steady rise in crude prices has pulled the retail price for gasoline higher across the country.
(David Duprey/ Associated Press)
Oil prices rose yesterday as the Federal Reserve began a two-day policy meeting on interest rates.
The US government stepped in to bail out faltering banks and other giant businesses over the past year, which has helped send the dollar tumbling and the price of oil sharply higher. Since oil is largely bought and sold in dollars, investors holding stronger currencies can buy more crude for less and have done so in recent months, sending the price of benchmark crude above $80 near the end of October.
Crude has been plentiful because the global economic slowdown has crimped demand, particularly in the United States.
Benchmark crude for December delivery gained $1.47 to settle at $79.60 a barrel yesterday on the New York Mercantile Exchange.
The average price for a gallon of regular gasoline fell a half penny overnight to $2.68, according to auto club AAA. That’s 22.5 cents more than a month ago, and 27.1 cents more than gas cost at this time last year.
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