Good News And Bad News For The Price Of Gasoline This Summer

Rising prices for oil pushed up the price of gasoline in Iowa last week and could send gas prices up a few more cents according to AAA.

Officials still expect gas prices in the United States to hit six-year-lows this summer. Prices remain more than $1 per gallon cheaper than last year.

Prices for oil rose last week in part on news that Al Qaeda militants took control of a major oil terminal in Yemen. That stoked concerns that violence could spread in the oil-producing region. It could take a full week before the full impact of higher oil prices hit the gas pump, and gas prices could rise 5 to 10 cents as a result according to an AAA spokesman.

The good news is that the price of oil began to fall again by the end of last week," suggesting the rise in gas prices will be limited.

The U.S. Energy Information Administration has forecast average gas prices nationwide from April through September at $2.45 per gallon, down from $3.59 per gallon last year. That's largely because of record oil production in the U.S. that is contributing to a glut of worldwide supply.