The average price of regular gasoline jumped almost a nickel in the past week to $1.23 a litre, according to the latest national pump price survey by Calgary-based MJ Ervin & Associates.

That price is second only to the price spike that followed Hurricane Katrina in September 2005, when the average pump price surged to $1.26 a litre.

The current week's survey found that the cheapest gas could be found in Kingston, Ont., where a litre of regular cost $1.147. Edmonton wasn't far behind at $1.15.

The most expensive gasoline was in Yellowknife, where a litre of regular cost a little more than $1.38.

MJ Ervin says gasoline is above $1.20 a litre in most parts of British Columbia, Saskatchewan, Manitoba, northern Ontario, Quebec, Nova Scotia, Newfoundland and Labrador, in the northern territories.

The average national pump price is now just above $1.23 a litre, according to GasBuddy.com, a website that monitors pump prices.

Many analysts see the national average hitting record levels of at least $1.30 a litre once the summer driving season begins.

Record gas prices in the U.S.

In the U.S., gasoline prices are already in record territory. The national average pump price hit $3.51 US a U.S. gallon on Tuesday, according to a survey of stations by AAA and the Oil Price Information Service.

That's equivalent to about 92.4 cents US a litre — making gasoline seem like a comparative bargain south of the border.

Rising gasoline prices came on the heels of yet another record price for crude oil. The crude oil contract for May delivery soared as high as $119.90 US a barrel on the New York Mercantile Exchange on Tuesday. The contract settled at $119.37, up $1.89 from Monday's close.

Traders shifted money into oil as a hedge against a weak U.S. currency, betting that commodities would be a safer haven. The U.S. dollar hit an all-time low against the euro on Tuesday.

Supplies of gasoline have also come under pressure as refining margins have recently turned negative in some areas of the U.S., meaning that refiners are losing money on every gallon of gas they make.  

"Very high crude prices can constrain gasoline supplies as it
hurts the margins," said Antoine Halff, an analyst at Newedge USA LLC.

With files from the Associated Press