Gas Prices at 3-Year Low Ahead of Holiday Season

SAN FRANCISCO - MAY 07: A customer pumps gasoline at a service station May 7, 2007 in San Francisco, California. Gas prices reached a record national average price of $3.07 per gallon of regular unleaded, up over twenty cents in the past two weeks. San Francisco leads the nation with the highest average price of $3.49 per gallon.
National Journal
Clare Foran
Add to Briefcase
See more stories about...
Clare Foran
Nov. 27, 2013, 10:20 a.m.

As Amer­ic­ans pile in­to SUVs, se­dans, and minivans and hit the road to make it home in time for Thanks­giv­ing dur­ing the busiest driv­ing sea­son of the year, they’ll be­ne­fit from prices at the pump that are lower than a year ago.

The av­er­age price of a gal­lon of gas rose slightly this week to hit $3.29, ac­cord­ing to data re­leased on Wed­nes­day by the En­ergy In­form­a­tion Ad­min­is­tra­tion.

Des­pite the in­crease, however, the cur­rent na­tion­al av­er­age is 14 cents be­low what it was one year ago and gas prices haven’t been this low ahead of the Thanks­giv­ing hol­i­day since 2010.

Some ex­perts, in­clud­ing Tom Kloza, the chief oil ana­lyst at the Oil In­form­a­tion Ser­vice, be­lieve prices could con­tin­ue to drop through the end of the year, with Kloza es­tim­at­ing that the av­er­age could fall to $3.05 in Decem­ber.

The largest piece of the puzzle con­trib­ut­ing to low prices at the pump is the lowered cost of crude oil, which has de­clined in re­cent weeks due to de­creased de­mand.

But don’t ex­pect things to say this way. The EIA pre­dicts that gas prices will in­crease to an av­er­age of $3.33 per gal­lon in the first quarter of next year and es­tim­ates that the an­nu­al av­er­age for 2014 will come in at around $3.39 over­all.

To the ex­tent that prices con­tin­ue to drop, however, re­tail­ers may see an up­tick in sales dur­ing the hol­i­day shop­ping peri­od.

“[Con­sumers] be­come less sur­gic­al in their shop­ping be­ha­vi­or,” Bill Mar­tin, ex­ec­ut­ive vice pres­id­ent of re­tail ana­lyst Shop­per­Trak, told the As­so­ci­ated Press. “That opens the door to more im­pulse buy­ing.”

What We're Following See More »
CITES CONFLICT OF INTEREST
Lieberman Withdraws from Consideration for FBI Job
4 days ago
THE LATEST
MINIMUM 2 PERCENT GDP
Trump Tells NATO Countries To Pay Up
4 days ago
BREAKING
MANAFORT AND FLYNN
Russians Discussed Influencing Trump Through Aides
4 days ago
THE DETAILS

"American spies collected information last summer revealing that senior Russian intelligence and political officials were discussing how to exert influence over Donald J. Trump through his advisers." The conversations centered around Paul Manafort, who was campaign chairman at the time, and Michael Flynn, former national security adviser and then a close campaign surrogate. Both men have been tied heavily with Russia and Flynn is currently at the center of the FBI investigation into possible collusion between the Trump campaign and Russia.

Source:
BUT WHITE HOUSE MAY USE AGAINST HIM ANYWAY
Ethics Cops Clear Mueller to Work on Trump Case
6 days ago
THE LATEST

"Former FBI Director Robert Mueller has been cleared by U.S. Department of Justice ethics experts to oversee an investigation into possible collusion between then-candidate Donald Trump's 2016 election campaign and Russia." Some had speculated that the White House would use "an ethics rule limiting government attorneys from investigating people their former law firm represented" to trip up Mueller's appointment. Jared Kushner is a client of Mueller's firm, WilmerHale. "Although Mueller has now been cleared by the Justice Department, the White House may still use his former law firm's connection to Manafort and Kushner to undermine the findings of his investigation, according to two sources close to the White House."

Source:
BUSINESSES CAN’T PLEAD FIFTH
Senate Intel to Subpoena Two of Flynn’s Businesses
6 days ago
THE LATEST

Senate Intelligence Committee chairman Richard Burr (R-NC) and ranking member Mark Warner (D-VA) will subpoena two businesses owned by former National Security Advisor Michael Flynn. Burr said, "We would like to hear from General Flynn. We'd like to see his documents. We'd like him to tell his story because he publicly said he had a story to tell."

×
×

Welcome to National Journal!

You are currently accessing National Journal from IP access. Please login to access this feature. If you have any questions, please contact your Dedicated Advisor.

Login