Hurricane Gustav has spun up in the last week or so, and current forecasts are showing that it will make it into the Gulf of Mexico as a major (Category 3-5) hurricane. Here’s the current 5-day forecast from the National Hurricane Center.
It’s still way too early to say for sure that this storm is a threat to the oil patch in the GOM, but for now it doesn’t look good. We’re just getting to that point in the season where ocean surface temps are hot enough to support major ‘canes, and this one appears to be a on good track to hit the US somewhere between the Florida Panhandle and Houston.
I would expect gas prices to jump soon both due to to this and due to the Labor Day holiday coming up. Not sure about the rest of the country, but around here gas prices rise in the week prior to Labor Day since it’s the last hurrah for a summer driving vacation before school starts. If Gustav does look to be aiming for somewhere between New Orleans and Houston, oil & gasoline prices should rise fast. A return to $4/gallon around here would be in order.