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Average U.S. Gasoline Price Drops Below $2
The average retail price for a gallon of gasoline in the U.S. has slipped to $1.998, according to the AAA Daily Fuel Gauge Report.
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The average retail price for a gallon of gasoline in the U.S. has slipped to $1.998, according to the AAA Daily Fuel Gauge Report. It’s the first time prices have been below $2 since March 2009.
Prices have been steadily sliding since June, when the average for the year peaked at about $2.78 per gallon. The average 12 months ago was $2.41 and compares with an all-time high of $4.11 reached in July 2008.
Fuel prices will remain low through January and may decline further during that period if the price of crude oil remains weak, AAA predicts. Petroleum futures currently are about $70 per barrel below their level in summer 2014.
But routine late-winter maintenance could cut refinery output enough to push U.S. per-gallon prices up 50 cents or more, AAA notes. Even so, the group says gasoline appears likely to remain below $3 per gallon through 2016 because of the continuing global oil glut.
AAA estimates that every swing of $10 per barrel affects retail gasoline prices by about 25 cents per gallon.
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