Gasoline Prices Surge as Texas Refineries Close in Wake of Hurricane Harvey

U.S. gasoline prices hit two-year highs as massive floods caused by the storm forced refineries in the area to close.

Hurricane Harvey has knocked out almost 15% of  United States refinery capacity.

Spot prices for U.S. gasoline futures surged as high as 7 percent to a peak of $1.7799 per gallon, the highest level since late July 2015, before easing to $1.7352.

Expect higher prices at the pump within days and they may last for awhile.

It will be some time before the full extent of damage is known. It is possible some refineries could be off line for weeks.

    -RW