A gasoline exchange traded fund is at its highest level since 2008 as the prices at the pump approach $4 a gallon.

U.S. Gasoline Fund (NYSEArca: UGA) is up about 20% so far this year. [Gasoline ETFs to $5 a Gallon?]

Gas prices increased 11.5 cents over the past two weeks to $3.93 a gallon on March 23, according to the Lundberg Survey.

“Crude oil price hikes have found their way through to the pump,” said editor Trilby Lundberg in a Reuters report.

“If crude prices rise, gas will follow,” Lundberg said, although he added the U.S. has excess refining capacity and that pledges from Saudi Arabia to boost oil output to counter any supply shortfall may have calmed nervous investors, according to the story.

Crude oil futures were trading around $107 a barrel on Monday morning. [Oil ETFs Ride Crude Prices Higher on Supply Concerns]

U.S. Gasoline Fund

The opinions and forecasts expressed herein are solely those of John Spence, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.