Lundberg Survey: Drop in Current Gasoline Prices to End Soon

The price of gasoline has dropped almost 12 cents over the past two weeks to keep a sort of “price crash” going, according to the latest report of Trilby Lundberg, publisher of the widely known Lundberg Survey.

The current gasoline price average of regular unleaded gas is $3.26 per gallon. That rate reflects a drop of almost 58 cents over the last 11 weeks, according to the survey.

However, that positive news at the pump will not likely continue, according to the survey’s publisher.

Higher per barrel crude oil prices are pushing the prices of wholesale gasoline up. Consequently, more expensive wholesale gas will eventually lead retailers to pass the cost to consumers in order to widen margins that fell to their lowest since February and August. As such, Lundberg predicts that the gasoline price will increase by about five to ten cents a gallon over the coming days.

At the national level, the average price of gasoline is higher by 2 cents compared to its level during the previous year.

The most recent survey shows that Long Island, New York has the highest average price of gasoline nationwide, at $3.75 per gallon. Following it is California, with an average price at the pump of $3.50 per gallon.

On the contrary, drivers in Tucson, Arizona are enjoying the cheapest gasoline price average throughout the country with an average below $3 at $2.90 per gallon.

The Lundberg Survey records the prices of gasoline in thousands of stations all over the United States.

By: Chris Termeer

Chris Termeer

Chris Termeer is an oil and gas consultant, industry commentator and analyst. His book, Fundamentals of Investing in Oil and Gas provides a comprehensive overview of all aspects of the oil and gas industry, including exploration, drilling, production, storage, transportation and refining, to name but a few.

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