Gasoline prices on Friday jumped to the highest level so far this year

Aug. 11 (UPI) -- U.S. retail gasoline prices on Friday were closing in on year-ago levels as a rally in crude oil prices shows no sign of easing, data show.

Travel club AAA put the national average retail price at $3.84 for a gallon of regular unleaded gasoline, unchanged from week-ago levels but almost 30 cents per gallon more than this time last month.

Andrew Gross, a spokesperson for AAA, said prices had been in something of a holding pattern, but that could change along with broader trends in commodities.

"The summer heat that kept people home and suppressed refinery production has eased for now, so we have to look at the cost of oil to determine if the recent price climb is ending," he said. "More expensive oil will likely lead to higher prices, so stay tuned."

Crude oil prices, which account for the bulk of what consumers see at the pump, are on pace for a seventh consecutive week of gains. The price for Brent crude oil, the global benchmark, was trading near $87 per barrel on Friday, up 10% from this time last month.

Much of the increase in crude oil prices is in response to decisions from Saudi Arabia and Russia to cut a combined 1.3 million barrels of oil production per day. Concerns about economic growth in China, the world's second-largest economy behind the United States, could keep a lid on crude oil prices going forward, however.

That said, prices at the pump are nearing year-ago levels of $3.99 and some states are already approaching that level. Arizona on Friday became the latest state to join the $4 per gallon club. The national average, meanwhile, has not been this high since October.

Retail gasoline prices, according to an Energy Department forecast, should stay suppressed, with an annual average of $3.56 per gallon for this year and $3.45 for 2024. Prices could rise further, however, as the long Labor Day holiday weekend approaches.