Last night's Tomahawk cruise missile strike against an air base in Syria has resulted in a sharp increase in world oil prices, and it comes at a time when San Antonio gas prices are already rising, News Radio 1200 WOAI reports.
"Those $2 prices, those $1.99 prices are starting to disappear around San Antonio and across much of the state of Texas now," Patrick DeHaan, an analyst with GasBuddy.com, told News Radio 1200 WOAI.
"San Antonio staring at $2.11 as an average price," he said. "Price is up about a nickel in the past week."
Most analysts say the traders bidding up oil prices in the wake of the Syria attack was a 'knee jerk reaction,' and surging U.S. oil production and strong supplies should blunt any real increase.
DeHaan says San Antonio's gas prices are still among the lowest in the entire country. He points out that the national average today is $2.34 a gallon, far higher than what is being paid in San Antonio and across Texas.
So how high should prices go this summer? Barring a full fledged shooting war in the Middle East or some other catastrophe, DeHaan says prices should rise in moderation.
"No $3 prices on average at least in San Antonio, but I expect that over the summer, we'll see prices averaging in the mid $2 range, anywhere from $2.40 to $2.60 a gallon."
But DeHaan and other analysts say there will be prices about $3 a gallon, especially in places like California, where a combination of super high gasoline taxes and a lack of refinery capacity keep prices elevated.
San Antntonio, Texas, and the Gulf Coast are expected to continue to see the lowest gas prices, due to our robust network of pipelines and our proximity to refineries.