TAMPA, Fla. — Gas prices should slip lower this week after the price of oil hit its lowest settlement since August. Gasoline prices nationwide are averaging $2.17, after slipping 5 cents last week. Motorists are now saving an average of $11 for a full tank of gas.
"Americans are finding the cheapest gas prices for this time of year since 2008," said Mark Jenkins, spokesman, AAA - The Auto Club Group. "Now that oil prices are falling again, pump prices should get even cheaper as we approach the holiday travel season."
The price of oil closed the week at $40.74 on the NYMEX Friday afternoon. This comes one week after the price of oil reached as high as $47.90. This downward trend in oil prices will make it cheaper to produce gasoline, which will put downward pressure on prices at the pump. Although prices in Georgia and Tennessee have been declining for six and seven days respectively, Florida gas prices shot up 5 cents last week due to delayed adjustments to the recent oil price increase. Fortunately, Florida prices are falling again in line with the price of oil.
Global oil prices are sliding following news that U.S. crude oil stockpiles increased for the seventh consecutive week, and OPEC stating that a deepening oil supply glut was likely on the horizon. Recent data from the International Energy Agency also points to growing global supply, capable of outpacing demand, which is expected to keep a downward pressure on the global price of crude oil in the near term. Oversupply is also impacting the domestic oil market, and according to the U.S. EIA crude oil inventories continue to test the record levels reached this past April.
- The current price of gasoline in Florida is $2.18 - 4 cents higher than a week ago, 3 cents lower than last month, and 71 cents lower than this time last year.
- The current price of gasoline in Georgia is $2.09 - 4 cents lower than a week ago, 6 cents lower than last month, and 73 cents lower than this time last year.
- The current price of gasoline in Tennessee is $1.98 - 4 cents lower than a week ago, 3.5 cents lower than last month, and 70 cents lower than this time last year.
