gas prices in overdrive today by Global tensions 2012 expected

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gas prices in overdrive today by Global tensions 2012 expected
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Prepare the foodstuffs, batten down the hatches, buy a bike -- gasoline prices are expected to rise this weekend as a combination of international tensions and domestic disasters cause local stations to add between 5 to 8 cents per gallon.

Motorists in the region were already paying an average of $3.67 per gallon Thursday, up more than 2 cents from what they paid Wednesday. Prices in the Pittsburgh region have gone up more than 5 cents since last week, according to GasBuddy.com, a fuel-price tracking website based in Minnesota.

The upward trend is expected to continue: Analysts at GasBuddy expect daily increases over the weekend not seen since October, when Moammar Gadhafi's downfall in Libya sent oil prices skyward.

The culprits this week: continued dismay over threats from Iran, a massive refinery fire in the state of Washington and early anticipation of the summer driving season.

"Essentially, the market's freaking out, if you will," said Patrick DeHaan, a senior petroleum analyst at GasBuddy.com.

Creeping near the $4-per-gallon mark does more than draw driver ire: It's a political liability for state and national politicians, sends airline stocks falling and kick-starts what's expected to be a painful year at the pump.

Democratic President Barack Obama fought back in Miami Thursday against critics who say his administration hasn't done enough to lower fuel costs, accusing Republican candidates of playing election-year politics with the issue.

Nationwide, motorists were paying an average of $3.59 for a gallon of gas Thursday, an increase of 36 cents per gallon from this time one year ago.

Since station owners typically price gasoline in anticipation of changes in the market, the slightest shift in body language from the Middle East or a service disruption across the country can increase prices.

Read more: http://www.post-gazette.com