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| CNN's Gerri Willis shares five tips on how to beat record level gas prices. (August 12) |
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NEW YORK (CNN/Money) -
Gasoline prices climbed to a new high, above $2.60 per gallon Monday, according to travel club AAA's daily fuel gauge report, extending more than a week of record-setting gains.
And the price climb is having an effect. According to a new survey, nearly eight out of 10 people saying high prices are making them think about buying a hybrid.
The nationwide average price for a gallon of regular unleaded hit $2.614, up from $2.601 Friday, according to AAA, the largest U.S. motorist organization, formerly known as the American Automobile Association.
"Right now inventories are below the normal average level for this time of year," said Brian Hicks, co-manager of the Global Resources Fund at U.S. Global Investors.
"At the end of the summer driving season heading into fall, we should get some relief from high gasoline prices," Hicks said.
When inflation is taken into account, Monday's AAA record-high price is still below the all-time high set during the Iranian revolution in the early 1980s when gas prices were the equivalent of $3 a gallon.
In fact prices have jumped above $3 a gallon in some cities and towns, even though the national average price for a gallon of gasoline hovers near $2.60.
Retail diesel is at $2.638, a gain of about 77 cents from last year's price, the AAA survey said.
Driving less, buying hybrid
More people say they will drive less and buy a hybrid in the face of surging prices at the pump, according to a public opinion poll conducted by the Polk Center for Automotive Studies.
The price of a gallon of gas has jumped more than 20 cents during the past week, nearly the same gain made over the course of the three previous weeks. In the last year, the average price for a gallon of regular unleaded has gained about 73 cents, or almost 39 percent.
"Over the longer term, we'll see the same situation as strong or stronger in 2006 due to further increases in demand and environmental restrictions that go into effect at the end of the year and will challenge refiners," said Hicks.
Fifty-nine percent of the survey's 500 respondents said they will drive less because of higher prices, and 55 percent said they will change the type of vehicle they drive when they buy.
That sentiment was felt most strongly among the poll's respondents in the Western region. During the current gasoline price rally, California and Hawaii residents have been paying the most at the pump.
According to the Polk Center's survey, 88 percent of respondents in the Western region said they would consider buying or leasing a hybrid, versus 84 percent nationwide.
The survey also found that Midwesterners were more likely to delay their next auto purchase, while Northeasterners were the least likely to change their behavior because of rising prices.
Hawaii currently has the highest average price for a gallon of regular unleaded at $2.824, while Utah has the lowest tab at $2.464 per gallon, according to AAA.
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Read why the inflation dragon is back.
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