On Sunday, gasoline prices soared to their highest point since 2008. This was due to increased crude oil supply worries resulting from Russia’s invasion of Ukraine.

AAA reported that the average national price of a gallon gas was $4.009, and this is unadjusted for inflation. Price inflation has been rapid. Prices are rising quickly for consumers, with prices increasing by 40 cents compared to a week and 57 cents compared to a one-month ago.

Consumers are sometimes paying more in some areas. California is currently paying an average of $5.288 per gallon.

Prices have risen due to an increase in oil price in Russia during the war against Ukraine. Oil’s true cost is more than 50% of what consumers pay for gas. U.S. crude oil prices have been at their lowest levels since 2008, when they were last high.

Russia is an important producer and exporter oil and natural gas. While Western allies’ sanctions have so far carved out room for Russia’s energy trade to continue, the market is self-sanctioning — in other words buyers are avoiding Russian products. JPMorgan estimates that 66% of Russian oil has difficulty finding buyers. The result is increasing supply worries in a tight market before Russia’s invasion.

Andy Lipow, President of Lipow Oil Associates said that $4.50 is the next stop on the national average because of supply disruptions across the energy sector.

He stated that oil buyers have been reducing their Russian purchases, causing Russian refineries in Russia to close down. Oil and gas vessels are being unloaded by dock workers, who refuse to load them. The insurance rates have risen to such an extent that ship owners are unable to book ships loading into Russia. This is also affecting Kazakhstan’s ability to sell its oil.

Inflation fears are increasing across the entire economy as a result of the sudden rise in fuel prices. Since months, the Biden administration claims they have been working to lower prices at the pumps. In the fall, however, the Strategic Petroleum Reserve was tapped. Some have called on the administration for a pause in the federal gasoline tax after prices rose sharply.