Why are gas prices falling?

Gasoline prices, which had hit record highs in recent months, are now falling sharply, approaching an average of $4 a gallon across the county. According to the American Automobile Association (AAA), average gas prices reached $4,059 Monday, August, down from $4,212 a week ago.

Gasoline prices have steadily fallen from the record high of $5.03 per gallon in June, providing some relief for drivers. Despite the recent drop in gas prices, gas at the pump is about 87 cents higher than last year, from last year at this time a gallon of gas was $3,188.

Gas prices fall

The District of Columbia, Colorado, Arizona and Illinois saw the largest drop in gas prices with an average drop in gas prices of 20 cents. Gas prices in the District of Columbia fell from $4,533 to $4,254 within a week. Similarly, Colorado saw prices at the pump reach $4,171 from a high of 4,400 last week.

Despite the gas price hiatus, some states continue to feel the bottleneck at the pump.

California drivers pay an average of $5,446 per gallon, while Alaskans pay an average of $4.98 for a gallon of gasoline. This is despite gas prices in both states falling more than ten cents since last week. The states of Hawaii, Vermont and Pennsylvania showed marginal declines compared to numbers from across the country.

Highest gas prices

State Regular Mid-Grade Premium Diesel California5.4465.6565.8016.31Hawaii5.425.6495.8676.086Alaska4.9825.1995.3675.598Nevada4.9765.2275.4265.259Oregon4.945.1485.365.853

At the other end of the spectrum, several other states saw their gas prices below $4 and inches close to last year’s prices, the majority in the South. For example, the average gas price in Texas is $3,572, while in South Carolina it is down $3,604 per gallon from $3,747 a week ago. Other states with average gas prices below $3.70 include Georgia, Arkansas, Mississippi, Tennessee, and Alabama.

Lowest gas prices

State Normal Mid-Range Premium Diesel Texas3.5573.924.2554.623South Carolina3.5913.9874.3274.784Oklahoma3.6033.9424.1864,631Arkansas3.6043.9884.3074.787Georgia3.6184.0194.384.87

Will gas prices fall again?

Recent weeks have shown that gas prices are on a course to continue to fall at least in the coming weeks. The decline comes as global demand for fuel has declined due to high prices and a strong US dollar making oil more expensive elsewhere. On the consumer side, high gas prices had prompted consumers to buy less gas, reducing gas demand.

Last week, demand fell from 9.25 million barrels per day to 8.54 million barrels per day. Domestic gasoline inventories also increased slightly by 200,000 billion barrels to 225.3 million billion barrels. Projections indicate that if demand for gas remains low and inventories continue to rise alongside falling crude oil prices, drivers could see gas prices rise to last year’s prices.

Trends in gas prices

NormalMid-RangePremiumDieselE85Current Avg.4.0594.5034.8035.1433.329Yesterday Avg.4.0694.5184.8185.1583.346Week Ago Avg.4.2124.6514.9525.2793.468Month Ago Avg.4.7215.165.455.56754.0343.2973.5843.8

When will gas prices go up?

All indications are that gas prices are stabilizing and falling, provided there are no interruptions in the supply of gas. Currently, the nation is seeing gasoline inventories grow to allow some dampening of rising gas prices. Incidents such as supply chain disruptions due to refinery outages or hurricanes can trigger another surge in gas prices.

State gas prices August 8, 2022

State Regular Mid-Grade Premium Diesel Alaska4.9825.1995.3675.598Alabama3.6424.0394.4144.868Arkansas3.6043.9884.3074.787Arizona4.2854.5924.8585.15California5.4465.6565.8016.31Colorado4.1714.5384.8325.011Connecticut4.2214.7385.0995.354District of Columbia4.2544.782.135 9324.4024.6694.9666Florida3.7764.2024.5234.984Georgia3.6184.0194.384.876Hawaii5.425.6495.8676.086Iowa3.6643.9624.3854.798Idaho4.7955.0385.2525.353Illinois4.4224.9245.3025.293Indiana3.9584.3824.716165.43 .684. .8035.054Maine4.4664.8785.2025.451Michigan4.0314.4784.8355.411Minnesota3.9784.364.7075.114Nisouri3.6674.024.3354.745Mississana4.3084.767283.99603714.767283.99603 North Dakota3.9764.2974.7064.8854.7New H23494.223.063ampshire .0795.256New Mexico3.8214.1524.4064.921Nevada4.9765.2275.4265 .259New York4.4274.8655.835.622Ohio3.7384.1614.5015.347Oklahoma3.6033.9424.1864.631Oregon4.945.1485.365.853Pennsylvania4 .3834.7575.0295.521Rhode Island4.2954.8375.1425.415South Carolina3.5913.9874.3274.784South Dakota4.41284.2544.759th Texas3.5573.924.2554.623Utah4.7234.9485.1445.084Virginia3.854.2874.6215.044Vermont4.4154.9045.3015.14Washington4.828645. 7244.1594.5494.853West Virginia4.1524.4394.6975.356Wyoming4.2374.4554.785.106

Follow us on Google News for the latest news.

Image: Envato


This post Why are gas prices falling? was original published at “https://smallbiztrends.com/2022/08/why-are-gas-prices-going-down.html”

Leave a Reply

Your email address will not be published.