"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-03-07T14:53:27Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/03/07/gas-prices-surge-us-russia-vpx.cnnbusiness"
data-branding-key=""
data-video-slug="gas prices surge us russia vpx"
data-first-publish-slug="gas prices surge us russia vpx"
data-video-tags="banking, finance and investments,business and industry sectors,business, economy and trade,commodity markets,consumer products,continents and regions,eastern europe,economic indicators,economy and economic indicators,energy and resources,energy and utilities,energy commodities,energy economic indicators,europe,financial markets and investing,north america,oil and gas industry,oil prices,price increases,russia,russia-ukraine conflict,the americas,ukraine,united states,unrest, conflicts and war"
data-details="">
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-03-07T14:53:27Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/03/07/gas-prices-surge-us-russia-vpx.cnnbusiness"
data-branding-key=""
data-video-slug="gas prices surge us russia vpx"
data-first-publish-slug="gas prices surge us russia vpx"
data-video-tags="banking, finance and investments,business and industry sectors,business, economy and trade,commodity markets,consumer products,continents and regions,eastern europe,economic indicators,economy and economic indicators,energy and resources,energy and utilities,energy commodities,energy economic indicators,europe,financial markets and investing,north america,oil and gas industry,oil prices,price increases,russia,russia-ukraine conflict,the americas,ukraine,united states,unrest, conflicts and war"
data-details="">
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-09-13T15:28:17Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/09/13/chevron-ceo-mike-wirth-climate-change-harlow-vpx.cnnbusiness"
data-branding-key="perspectives-no-logo"
data-video-slug="chevron ceo mike wirth climate change harlow vpx"
data-first-publish-slug="chevron ceo mike wirth climate change harlow vpx"
data-video-tags="banking, finance and investments,business and industry sectors,business, economy and trade,chevron corp,climate change,companies,company activities and management,company structure and ownership,energy and environment,energy and resources,energy and utilities,environment and natural resources,environmental regulation and policy,environmentalism,financial markets and investing,misc people,poppy harlow,securities trading,shareholders,stock markets"
data-details="">
Video Ad Feedback
This is what Chevron's CEO thinks about climate change
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-08-31T22:32:47Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/08/31/americans-face-high-utility-bills-yurkevich-dnt-lead-vpx.cnn"
data-branding-key=""
data-video-slug="americans face high utility bills yurkevich dnt lead vpx"
data-first-publish-slug="americans face high utility bills yurkevich dnt lead vpx"
data-video-tags="severe weather,weather,business and industry sectors,business, economy and trade,economic conditions,economic indicators,economy and economic indicators,energy and utilities,inflation"
data-details="">
Video Ad Feedback
'I can't withstand the heat': Americans behind on utility bills face extreme weather
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-07-26T14:30:15Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/07/26/european-union-reducing-gas-consumption-russia-supply-winter-firstmove-vpx.cnn"
data-branding-key=""
data-video-slug="european union reducing gas consumption russia supply winter firstmove vpx"
data-first-publish-slug="european union reducing gas consumption russia supply winter firstmove vpx"
data-video-tags="business and industry sectors,business, economy and trade,energy and utilities,energy consumption,european union,government organizations - intl,natural gas,oil and gas industry,clare sebastian,continents and regions,eastern europe,europe,misc people,russia,ukraine"
data-details="">
Video Ad Feedback
EU countries agree to reduce gas consumption to prep for winter
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-07-21T15:08:36Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/07/21/international-energy-agency-european-gas-consumption-firstmove-intl-ldn-vpx.cnn"
data-branding-key=""
data-video-slug="international energy agency european gas consumption firstmove intl ldn vpx"
data-first-publish-slug="international energy agency european gas consumption firstmove intl ldn vpx"
data-video-tags="business and industry sectors,business, economy and trade,continents and regions,energy and utilities,energy and utility policy,energy consumption,europe,government organizations - intl,international energy agency"
data-details="">
Video Ad Feedback
IEA director says Europe needs to lower gas consumption to prepare for winter
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-07-19T17:25:36Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/07/19/france-finance-minister-bruno-le-maire-russia-europe-gas-supply-uae-ctw-vpx.cnn"
data-branding-key=""
data-video-slug="france finance minister bruno le maire russia europe gas supply uae ctw vpx"
data-first-publish-slug="france finance minister bruno le maire russia europe gas supply uae ctw vpx"
data-video-tags="becky anderson,continents and regions,eastern europe,europe,france,middle east,middle east and north africa,misc people,russia,united arab emirates,western europe"
data-details="">
Video Ad Feedback
French finance minister says country prepping for cutoff of Russian gas supply
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-07-05T19:03:29Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/07/05/hungary-foreign-minister-russian-energy-purchase-ukraine-amanpour-intl-vpx.cnn"
data-branding-key=""
data-video-slug="hungary foreign minister russian energy purchase ukraine amanpour intl vpx"
data-first-publish-slug="hungary foreign minister russian energy purchase ukraine amanpour intl vpx"
data-video-tags="christiane amanpour,continents and regions,eastern europe,europe,government and public administration,government bodies and offices,government departments and authorities,hungary,international relations,international relations and national security,misc people,russia,state departments and diplomatic services,ukraine,russia-ukraine conflict,unrest, conflicts and war"
data-details="">
Video Ad Feedback
Hungarian foreign minister on why the country is still buying Russian energy
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-06-10T15:02:45Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/06/10/low-price-gas-station-affil-vpx.ktvk-kpho"
data-branding-key="good-stuff"
data-video-slug="low price gas station affil vpx"
data-first-publish-slug="low price gas station affil vpx"
data-video-tags="arizona,continents and regions,north america,phoenix,southwestern united states,the americas,united states"
data-details="">
Video Ad Feedback
Hear why this gas station owner is selling gas at a loss
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-03-23T02:00:31Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/03/23/fuel-prices-gas-breakdown-js-orig.cnn"
data-branding-key=""
data-video-slug="fuel prices gas breakdown js orig"
data-first-publish-slug="fuel prices gas breakdown js orig"
data-video-tags="banking, finance and investments,business and industry sectors,business, economy and trade,commodity markets,consumer products,economic conditions,economic indicators,economy and economic indicators,energy and resources,energy and utilities,energy commodities,energy economic indicators,financial markets and investing,inflation,oil and gas industry,oil prices,price increases"
data-details="">
"
data-check-event-based-preview=""
data-is-vertical-video-embed="false"
data-network-id=""
data-publish-date="2022-06-08T15:11:51Z"
data-video-section="business"
data-canonical-url="https://www.cnn.com/videos/business/2022/06/08/oecd-secretary-general-global-economic-report-russia-oil-embargo-inflation-firstmove-vpx.cnn"
data-branding-key=""
data-video-slug="oecd secretary general global economic report russia oil embargo inflation firstmove vpx"
data-first-publish-slug="oecd secretary general global economic report russia oil embargo inflation firstmove vpx"
data-video-tags="business, economy and trade,celebrities,continents and regions,developing countries,eastern europe,economic conditions,economic development,economic indicators,economy and economic indicators,europe,inflation,julia chatterley,non-profit and ngo organizations,organisation for economic co-operation and development,russia,russia-ukraine conflict,trade and development,ukraine,unrest, conflicts and war"
data-details="">
Video Ad Feedback
OECD secretary-general explains global cost of the Russian oil embargo
As the world barrels into Year Three of the pandemic, Americans are entering a new phase of economic anxiety — an inescapable reality that shouts out at them in big bold numbers on countless signs dotting the nation’s roadsides.
Record gas prices are here, just as many people are mapping out summer road trips or returning to the office for the first time in two years. That could create a particularly sticky problem for policy makers as inflation soaks into the fabric of American life. Even though gas accounts for a relatively small portion of consumers’ overall spending, those prices reinforce a broader sense of gloom that could ultimately curb spending.
The average price for a gallon of regular gas on Wednesday hit $4.25 — an all-time high, after earlier in the week breaking the previous record of $4.11 a gallon that had stood since July 2008. Prices were already elevated because of supply shortages before Russia invaded Ukraine two weeks ago, but prices have spiked as the oil industry has shunned Russian crude.
That sticker shock is hard, if not impossible, for most Americans to ignore. In the short term, at least, you can’t easily adjust how much gas you need to get by.
“You could buy a different kind of vehicle or come up with different transportation options, but in the short run, you’re just kind of stuck with the gas prices,” says Carola Binder, an associate professor of economics at Haverford College. “It’s just going to mean you have less to spend on other things.”
It remains to be seen whether gas price surges are affecting consumer spending. February’s consumer price index, a key measure of inflation, will be released later this week, though it won’t reflect the most recent spikes in response to Russian aggression. But one index, released by the London-based ICE Benchmark Administration, showed Americans’ full-year inflation expectations are rising in response to the invasion of Ukraine. As of Monday, the expected pace of consumer price increases over the next year rose to more than 5% compared with 3.5% in early February.
Adding to the supply constraints, President Joe Biden announced the United States would ban Russian oil imports Tuesday, a dramatic escalation of sanctions aimed at punishing Vladimir Putin’s regime that could further unsettle global commodities markets. Although the United States consumes little Russian oil, the move raises the possibility of European nations — Russia’s primary oil market — following Biden’s lead.
Biden didn’t mince words about how the move would hit Americans’ wallets.
“The decision today is not without cost here at home,” he said. “Putin’s war is already hurting American families at the gas pump. With this action is going to go up further.”
When it comes to inflation, psychology matters. If consumers expect prices to rise, they spend more in the near term, which feeds demand, which pushes prices up further — a cycle that can be tough to break, especially when the source of the price spikes is making headlines daily.
“Sometimes people don’t really know why gas prices are rising, but this time people know that it’s because of this war,” Binder says. “The ban on Russian oil imports is important and just, and hopefully most people will see that it is worth the higher price at the pump.”
The gas price surge feels like the beginning of a grim third chapter in the pandemic era: 2020 brought the deadly virus; 2021 the devastating economic aftershocks; and 2022 marks the start of Europe’s largest ground war since WWII, which is compounding the pain wrought by the crises leading up to it.
And that reality will slap us all in the face every time we go for a drive.