Gas prices drive consumer inflation surge
Energy prices jumped 4.8% in October, driving higher prices at the pump
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Rising gas prices are a big driver in consumer inflation which rose by the most in 31 years.
The cost of gasoline, within the CPI report out Wednesday, rose 6.1% in October, according to the Labor Department.
Energy prices jumped 4.8% last month and were up 30% over the past year, which largely resulted in higher costs at the pump for American drivers. The overall headline number rose 6.2% annually last month.
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Currently, the average price for a gallon of gasoline in the U.S. is about $3.41, according to GasBuddy data. Prices are up 15.1 cents compared to a month ago and $1.31 per gallon higher compared to this time last year, based on price reports covering more than 150,000 gas stations across the country.
The fuel nozzle in a car at a gasoline pump at the Citgo gas station on Lancaster Ave in Reading, PA Monday afternoon September 20, 2021. (Ben Hasty/MediaNews Group/Reading Eagle / Getty Images)
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This comes as President Biden continues to pressure OPEC and allied oil-producing countries to pump significantly more oil and lower gasoline prices for American drivers.
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Thus far, the cartel has declined to adjust current production levels. Earlier this week, U.S. Energy Secretary Jennifer Granholm said an announcement on the oil and gas situation from the administration is imminent.
GLASGOW, SCOTLAND - NOVEMBER 04: U.S. Secretary of Energy Jennifer Granholm speaks to delegates during day five of COP26 at SECC on November 3, 2021 in Glasgow, Scotland. Today COP26 will focus on accelerating the global transition to clean energy. T (Getty Images / Getty Images)
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Patrick De Haan, of GasBuddy, noted that prices won't largely fluctuate at the pump in the weeks leading up to Thanksgiving either when more than 53.4 million people are expected to travel, according to AAA.
"With President Biden still mulling over options to help push gas prices down, we could continue to see some volatility in oil prices," De Haan said. "I don’t immediately see a large decline or surge coming in the run-up to Thanksgiving, but U.S. gasoline demand does remain strong."
FOX Business' Jonathan Garber and the Associated Press contributed to this report.