Gas rose to $3.77 a gallon in the United States as of today. What caused this rise in price was a result in the options market where oil futures expired creating an uncertain future for crude.
Options allows investors to bet as to whether oil will rise or fall in the future(think speculation) thus making the price of crude oil go crazy.
With the sudden impact that the oil crises has created for the U.S. Economy and other nations, there’s seem to be no end in sight for skyrocketing oil prices except for a few notable theories. Some predict that gas prices will peak around $3.90 or before Memorial Day. Mike Lynch, president of Strategic & Economic Research says “I don’t think we’ll go much higher than that.” Well Mike, we hope that you’re right, because if not, brace yourself for another ride on the rising oil train.
Read more below.
http://money.aol.com/news/articles/_a/oil-falls-as-options-expire-gas-prices/n20080515151709990024
