Despite the recent gas price plunge in the Valley, drivers should expect gas prices to rise by an average of 5% nationwide by the end of the year, said John LaForge, head of Real Asset Strategy at Wells Fargo Investment Institute.
During the past month, Valley gas prices have been falling lower — prices are 72 cents less per gallon than the $4.66 average price per gallon on Oct. 1, according to the AAA website. On Wednesday, the current average per gallon was $3.94 per gallon.
“It’s really a supply growth problem (with oil),” LaForge said. “...The supply growth is really not there.”
