Still in a speculative frenzy, oil prices continue to churn upward, heading for $109 bbl. Meanwhile, the cost of a gallon of gasoline is likely to hit $4 a gallon by Memorial Day in many parts of the country:Gasoline prices could break the $4 barrier in some places this summer despite falling demand in the United States, the world's largest oil consumer, the government's energy forecasting agency said yesterday. Diesel prices already have soared past $4 a gallon, and prices for regular gas are verging on $4 in high-cost states like California. By Memorial Day, more regions will see spikes above $4, the Energy Information Administration (EIA) said, although the average price nationwide will probably peak around $3.60 in May or June. The U.S. has rarely had to contend with record gas prices at a time when the economy is in recession. Demand for fuel already is falling at a 1 percent rate because of an economic contraction in the first half of the year, the agency said, and that will...(Read Full Post)