EIA forecasts a nearly 14% rise in summer retail gasoline prices

The U.S. Energy Information Administration forecast a nearly 14% year-over-year rise in summer gasoline prices on the back of expectations for higher crude oil prices, according to a report released Tuesday. The agency forecast an average retail price of $2.74 a gallon for regular gasoline in the April to September summer driving season this year, up from an average $2.41 for the summer season in 2017. The EIA also raised its expectations for West Texas Intermediate crude prices by roughly 2% from the previous forecasts-to $59.37 this year and $58.68 next year. U.S. crude production, meanwhile, was seen at 10.69 million barrels a day this year, down 0.1% from the previous forecast. For 2019, however, the EIA raised its output view by 1.5% to 11.44 million barrels a day. On the New York Mercantile Exchange, May WTI oil CLK8, +3.63% was up $1.73, or 2.7%, at $65.15 a barrel.