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Gas Prices Drop to Lowest of the Year

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Eight weeks: that’s how long the national average for a gallon of gasoline has fallen. The average price stands down 10.0 cents per gallon over the last week to $2.43 per gallon, the lowest tally of the year, according to GasBuddy data compiled from more than 10 million individual price reports. The national average price of diesel also moved lower, falling 4.7 cents to an average of $3.14 per gallon. The lowest gas price in 26 states is now under $2 per gallon.

“Motorists finally have something to be excited about: gas prices plummeting, with at least one gas station in 27 states offering a gallon of gasoline at $1.99 per gallon or less. The national average stands at its lowest point of 2018 having fallen nearly 50 cents since the start of October, keeping nearly $200 million in the pockets of Americans every single day, acting as an economic stimulus ahead of the holidays,” said Patrick DeHaan, head of petroleum analysis for GasBuddy. “While OPEC will be meeting this week to discuss the possibility of cutting oil production in light of the $25 per barrel drop in prices since October, Americans will likely see falling prices at least for one more week. In addition, the promise of a trade deal with China may boost confidence in the economy, pushing global oil demand back up and driving prices higher. Motorists are encouraged to continue shopping around to find the best deals at the pump and prices under $2 per gallon while they last.”

Energy markets are pushing higher this morning after various OPEC members signaled they are prepared to agree to a deal cutting oil production, while a U.S.-China trade war was simmering after the countries agreed to halt additional tariffs while pushing for a deal. West Texas Intermediate crude oil was up $1.73 per barrel Monday morning to $52.66. Pending the outcome of OPEC’s official meeting, December 6, oil markets may rise further. Any statements will be poured over, looking for clues at how the cartel stands as oil prices plummeted 25% from their early October levels. Meanwhile, American motorists are spending nearly $200 million per day less than they did sixty days ago. The drop in gas prices has been the largest since OPEC raised oil production in late-2014, leading the national average to shed 81 cents between November 15, 2014 and January 15, 2015.

The national average now stands 3 cents per gallon lower than its year-ago level but 32 cents lower than a month ago. Some 26 states have at least one gas station under $2 per gallon today, but Oklahoma is just 4 cents away from being the first state to see its average under $2 per gallon. Over 25 metro markets now boast an average under $2 per gallon, with Henderson, KY the lowest in the country at an average of $1.83 per gallon. The full list can be seen here: http://fuelinsights.gasbuddy.com/Top25

Yet again, all 50 states saw average gas prices move lower in the last week, while the following states led decliners: Ohio (-13 cents), Illinois (-13 cents), Missouri (-13 cents), Hawaii (-13 cents), Kentucky (-13 cents), Michigan (-12 cents), Arkansas (-12 cents), Alabama (-11 cents), Indiana (-11 cents) and Kansas (-11 cents).

States with the lowest average gas prices: Oklahoma ($2.03), Missouri ($2.06), South Carolina ($2.09), Texas ($2.10) and Louisiana ($2.11).

States with the highest average gas prices: Hawaii ($3.56), California ($3.51), Washington ($3.29), Alaska ($3.20) and Nevada ($3.13).

GasBuddy is a company that connects drivers with their Perfect Pit Stop. As the leading source for crowdsourced, real-time fuel prices at more than 150,000 gas station convenience stores in the U.S., Canada and Australia, millions of drivers use the GasBuddy app and website every day to find gas station convenience stores based on fuel prices, location and ratings/reviews. GasBuddy’s first-of-its-kind fuel savings program, Pay with GasBuddy, has saved Americans more than $4.5 million at the pumps since its launch in 2017.