Gas Prices Lowest Since 2010
Julie Murphy • October 28, 2014
The average price for gas at pumps across the U.S. is $3.08 per gallon, the lowest average price since late 2010. It’s the first time in four years the average of gas prices has been as low.
Prices fell 18 cents for regular grade gasoline, according to a bi-weekly survey conducted on October 24 th . Crude oil prices have dropped due to a surplus in global supply and weak demand over the past few months. Survey publisher and president of Trilby Survey, Trilby Lundberg, cites a plunge in crude oil prices as the reason why we’re seeing some relief at gas stations.
Gas prices have been decreasing steadily in late 2014 and are likely to continue to decline as oil production in the U.S. and internationally are expected to increase. “The crude oil price cash has been passed through by refiners,” Lundberg told Bloomberg News. “Retailers will probably be pressed to pass through at the pump a few more pennies of price-cutting sometime soon.”
For 2014, the highest national average for gas prices hit $3.72 in May and is 29 cents lower than May 2013. Currently, the highest average price was recorded in San Francisco at $3.45 per gallon, while Memphis had the lowest price at $2.73 per gallon.
The U.S economy is likely to gain more than it loses from cheaper oil. Lower prices at gas stations give consumers more disposable income to spend at restaurants and on vacations, in addition to reducing costs for several businesses across the country. Price drops will deliver a welcome lift to American consumers and retailers heading into the 2014 holiday season.
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