CHICAGO (WBBM) — Gas prices have spiked in Chicago in the past week, and the falling dollar and the rising cost of oil are to blame, experts say.
Prices at the pump are up 8 cents from a week ago and are averaging $3.10 a gallon in Chicago, according to Beth Mosher, spokeswoman for the AAA Chicago Motor Club.
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“We think that prices are going to either rise or hold steady,” Mosher said. “Consumers should be prepared to be paying these prices into the new year.”
The reduced value of the dollar typically sends investors to the commodities markets, where they invest in things like oil and gold. When that happens, prices go up.
“Oil is going up in a drastic rate in the last 30 days, and I don’t see it going down in the near future,” said William Fleischli, Sr., executive vice president of Illinois Petroleum Marketers Association.
On Monday, crude oil was trading around $89 a barrel, up from $79 in early September.
Prices in Chicago are typically among the highest in the country, due mostly to state and local taxes. However, average prices in California and New York are currently over $3.25 in some cities.