Bulk oil prices are surging to $123 a barrel, up from $116 last week. Several factors – including a recent attack on a Nigerian oil producer and the fluctuating American dollar – have caused unsteady prices in the last year. Now politicians are calling for a gas tax holiday. Sens. Hilary Clinton (D – NY) and John McCain (R – AZ) are urging to cut federal gas tax between Memorial Day to Labor Day. Likeminded state politicians are also lobbying to have the state gas tax cut in the same time period, which is particularly important since it is an election year.
This surge comes after predictions that gas prices would begin to fall; a poll by CNN has Americans expecting fuel prices to reach up to $5 a gallon.