Why Are Gas Prices Going Up With Low Demand?

With the economy improving on most fronts, and an upward trajectory for quite some time, it is no longer assured that the Republicans can win on "it's the economy, stupid." Because, if the economy is improving under President Obama's leadership, why should we change horses? An excellent question.

But one sticky wicket is gas prices. Gas is at about $3.50 per gallon on average right now, which isn't--by far--an all-time high, but it is higher than it has been in a while. Why? Demand is down. Republicans are sure to zero in on President Obama. They're wrong, and they're right. First, Obama isn't the reason for high gas prices. But, Obama could have lead the charge to reign in oil speculators, who caused gas prices to rise into the near-$5 range in 2008, and seem to be behind the most recent rise.

We got screwed by speculators in 2008. Why on earth didn't Obama, or hell, even the Republicans do something about it after that?

UPDATED JUST TO ADD: Notice that anything you read about this will say that we can expect gas to go over $4 this summer, and possibly $5 by the end of it. How. In the world. Does anyone. Know this? Speculation!!! (cue the scary music)

[Excerpt]

Oil Prices Are Rising Despite Lowest Demand Since 1997

. . .Strangely, the current run-up in prices comes despite sinking demand in the U.S. “Petrol demand is as low as it’s been since April 1997,” says Tom Kloza, chief oil analyst for the Oil Price Information Service. “People are properly puzzled by the fact that we’re using less gas than we have in years, yet we’re paying more. . .”

Read more at: Think Progress