LOS ANGELES -- The retail price of gasoline surged in California last week to an average of $2.03 per gallon, as two unexpected refinery shutdowns caused a sharp run-up in wholesale markets.
Analysts said the market's quick response was a harbinger of what is to come when the peak summer driving season kicks in, not only out West, but also in the Midwest and Northeast.
"It was a typical West Coast price spike due to a supply disruption," said Jacob Bournazian, an analyst at the Energy Information Administration, the statistical arm of the Energy Department.
In California, the retail price of gasoline rose 16.1 cents per gallon, or 8.6 percent, for the week ended Feb. 23, the EIA reported Monday.
"I'm sure some retail prices jumped more than 20 cents," Bournazian said.
The California gasoline market is notoriously volatile, analysts said, because strict clean-air rules require a steady flow of specially formulated gasoline that cannot be quickly imported from other states.
More