It's only just begun, or so they say. John Kilduff, energy analyst for MF Global, says that consumers should expect gas to reach $3.50 by late spring with some areas experiencing $4 a gallon. Unlike much of the speculation that has been priced into every barrel of oil Kilduff says that the latest price spike will be a result of decreased production and increased demand for refined gasoline. Ironically it's the low price of gasoline, in relation to crude, that has persuaded production facilities running at only 85% capacity. As it turns out the overall profit is so low given the price of raw materials that refineries have little incentive to rush seasonal maintenance and minimize downtime.

Gasoline's price spike has only just begun

While several areas will see prices over $4 a gallon, Kloza said he expects the nationwide average to peak somewhere between $3.50 and $3.75. Kilduff is calling for a high of $3.50, and Statts thinks we'll see the $3.30s.

All three analysts think prices will peak early, in April or May, then decline as the economy worsens and demand for gas - already flat or falling - continues to deteriorate.

"[The falloff in demand] that occurs around $3.25 a gallon takes a lot of the mojo out of gasoline," said Kloza. "These prices are real speed bumps for the economy."