The nationwide common for a gallon of standard fuel stood at $3.96 Monday, down solely a fraction of a cent from the place it stood on Sunday. Nonetheless that decline maintained a streak of 62 consecutive days of falling fuel costs.
The common value is considerably inflated by some high-priced states, equivalent to California, the place the typical is $5.37 a gallon. The nationwide median value, which is the worth at which half the nation’s fuel stations are promoting for extra and half are promoting for much less, is all the way down to $3.80 a gallon.
Just about each state is having fun with the reduction from greater costs. Even in states with excessive fuel costs, equivalent to California, the typical value is down greater than $1 a gallon because the peak in June.
In 28 states, the typical value of standard is now $3.99 or much less. Roughly two-thirds of 130,000 fuel stations nationwide are promoting for lower than $4 a gallon. And plenty of are promoting for a lot lower than that. About 25% of stations nationwide are promoting fuel for lower than $3.50 a gallon.
And he stated wholesale gasoline futures on Monday for November and December deliveries level to retail costs falling to under $3 for a lot of states on the finish of the yr. However he stated there’s nonetheless a threat that sudden fuel value spikes may derail this excellent news for drivers.
“We nonetheless do not know what Putin goes to do, or if we’ll get a hurricane hitting the Gulf Coast,” he stated about components that might ship fuel costs climbing as soon as once more.
“The market took this as a bearish sign on the outlook for oil demand,” stated Richard Joswick, head of world oil provide analytics at S&P World Commodity Insights.
“If a take care of Iran is reached, the implications for the oil market and Russia might be far reaching,” Andy Lipow, president of Lipow Oil Associates, wrote in a be aware on Monday.