Humanitarian ramifications of Russia’s cross-border intervention into Ukraine should have been the focus of world concern. But what does this imply for Southern California fuel prices, which hit record highs last week due to increased Ukrainian opposition and the? likelihood of a longer conflict?
This week, San Diego’s average gas price was $4.67, while Los Angeles’ was $4.87.
Even if demand stays stable, a supply shock, such as a European war, will cause prices to skyrocket. Despite the COVID-19 epidemic’s fluctuations, demand has risen.
Experts say that if the conflict rages on into the spring and summer, gas prices in Southern California may skyrocket.
ON THURSDAY, the US imposed travel restrictions and frozen assets on prominent Russian government officials and lawmakers.
The Russian Foreign Ministry says it has vowed retaliation against the US, raising fears about global oil supply this summer. The oil markets are unlikely to return to routine now that Russia may be cut off from the SWIFT interbank transfer system.
The present situation of global energy markets will undoubtedly impact consumers and household budgets in Southern California. The anxiety around Southern dinner tables pales in compared to the carnage in Ukraine.