The average price of normal gasoline in the U.S. has dropped again and is now sitting at a record nine-month low, per a Lundberg survey.
Trilby Lundberg, the president of Lundberg survey, reports that the average price of normal gasoline in the lower 48 states, which is currently just more than $3.36 per gallon, has declined by about 22 cents when compared to what it was six weeks ago. Lundberg also indicates that the current price of normal gasoline is 39 cents cheaper when compared to 2012.
The price of normal gasoline dropped by 2.01 cents bringing down the price to $3.3628 a gallon, which is the lowest since January 25.
U.S. benchmark West Texas Intermediate reduced the price of crude oil by $3.03, a drop by 2.9 percent, to $100.81 a barrel on the Nymex, in the two weeks to October 18. As a result the price of regular gasoline also dropped.
"It would take another substantial downturn in crude oil for the retail gasoline price decline to continue," said Lundberg. "The squeeze is on, so we can probably expect that wholesale price-cutting will probably slow or ease."
The Lundberg survey says that the average price of gasoline reached its peak at $3.795 on February 22 and was the highest recorded till date in 2013.
Currently, the highest gasoline price in the lower 48 U.S. states was in the San Francisco Bay Area, with the price sitting at $3.81 a gallon. The lowest recorded gasoline price in the survey was found in Albuquerque, New Mexico, where customers paid $3.03 per gallon on an average. Normal gasoline price in Long Island, New York, averaged $3.55 a gallon and $3.75 in the city of Los Angeles.
Gasoline futures on the New York Mercantile Exchange were up by 2.5 percent (6.56 cents) to $2.6732 a gallon in the two weeks ended October 18.
