Gas prices jump 17 cents overnight in Idaho Falls
IDAHO FALLS, Idaho (KIFI) - Gas prices have shot up an average of 10 cents overnight across the state, according to AAA. In Idaho Falls and Pocatello, gas prices jumped 17 cents, making the cost of regular gasoline over $5 a gallon. The statewide average is around $4.96 a gallon, which is roughly 30 cents shy of the highest recorded average price of $5.25, set in 2022.
"We saw the state average go up $0.10 just overnight, which is pretty shocking. $0.47 higher than a month ago $1.44 more per gallon than a year ago," Matthew Conde, the AAA Public & Government Affairs Director, said. "This isn't a refinery issue. This isn't a local pipeline issue. This isn't even a local demand issue. This is a global crude oil supply issue."
Because of the ongoing conflict with Iran and the continued closure of the Strait of Hormuz, these prices remain high. The cost of crude oil per barrel is roughly $90, which is steadily decreasing. However, local gasoline and diesel prices are not following the same trend.
"The crude oil is down and it's like at $91 a barrel, the important thing to realize there is that it was at 105 a barrel like ten days ago," Conde said. "Those higher prices were paid and that's now starting to work its way through. So there is a delayed effect between what was paid and how it affects us at the pump. And then when you have that more expensive product out there, it needs to cycle through before a cheaper product comes along that fills up those tanks at the gas station and makes things a little cheaper for the rest of us."
The market is still unpredictable, professionals say they cannot predict the future of these prices. But economists believe these higher prices will have a ripple effect on other everyday expenses.
"Diesel hit an all time high today of more than $6.50 a gallon," Robert Spendlove, the senior economist with Zions Bank, said. "That can really have a big impact on the prices of end products as well. While gasoline is for the cars we drive and takes more money out of our pockets. That diesel really has an impact on those end products that we get. If they stay higher for longer, the longer they're at this higher level, those prices are going to work more into groceries or into the other products that we get."
Spendlove says prices could rise for everyday expenses such as food delivery services, packages, and Amazon deliveries, as well as groceries.
Currently, there is no predicable future for where gas prices go. But as they continue to climb, Spendlove recommends tightening budgets and making do with what you have.
"It's important to be prepared for the unexpected," Spendlove said. "You really need to keep that budget and we all have to tighten our belts. We have to figure out ways of doing more with less. And especially as we go into the holiday season."
As these costs continue to rise, Spendlove says it may be worth enrolling in store and gas station rewards programs to save money.
