AAA: Gas prices slowly sliding toward seasonal savings
BOISE – National average gas prices have started the slow march toward anticipated seasonal lows, and Idaho prices are beginning to follow suit, says AAA.
U.S. prices have fallen for 15 of the last 20 days for a total savings of seven cents per gallon. Meanwhile, Idaho prices have dropped six cents per gallon. The savings are starting to help their pocketbooks, but Gem State drivers are still paying the 8 th highest gas prices in the nation.
“On September 14, pump prices in Idaho peaked for the year at $2.78 per gallon, and some of the highest prices were paid in the Boise Metro area,” said Matthew Conde, AAA Idaho spokesman, in a press release. “Reduced demand and the conversion to cheaper-to- produce winter-blend fuel are starting to apply downward pressure on pump prices throughout the state. Unfortunately, prices have moved by mere fractions of a penny each day, which makes for a very slow discount.”
Today, the U.S. average price is $2.45 per gallon, which is one cent less than a week ago and twelve cents less than a month ago, but 23 cents more than a year ago. Idaho’s current price is $2.69, which is two cents less than a week ago, eight cents less than a month ago and 24 cents more than a year ago.
“Barring significant changes to the current climate, AAA projects that fuel prices will continue to fall in the weeks leading up to Thanksgiving,” Conde said. “Pump prices may get a little bump around the holidays, but we should continue to see an overall downward trend to end the year.”
OIL MARKET DYNAMICS
AAA and industry stakeholders will closely follow OPEC (Organization of Petroleum Exporting Countries) activity in advance of a November 30 meeting in Vienna. At that time, a group of OPEC and non-OPEC producers will decide whether to continue or even increase crude oil production cuts initiated in January. Those cuts are currently set to expire in March 2018.
Today, the West Texas Intermediate benchmark puts a barrel of crude oil at $52.27, which is $1.70 more than a month ago and a year ago. Total crude inputs at U.S. refineries have reportedly declined by 819,000 barrels per day. The number of oil rigs also continues to drop (by seven last week to 736 active rigs), another sign of reduced seasonal demand. But one economic factor may keep crude oil prices from taking a bigger plunge.
“According to the Energy Information Administration, domestic crude oil exports have increased to 1.8 million barrels per day,” Conde said. “A strong export market could put a damper on price reductions here in the States.”
AAA will continue to monitor the crude oil and petroleum markets to keep motorists informed.
Here’s a look at some of today’s gas prices across the Gem State: American Falls - $2.73; Ammon - $2.56; Blackfoot - $2.66; Boise - $2.72; Bonners Ferry - $2.75; Cascade - $2.90; Chubbuck - $2.64; Coeur d’Alene - $2.54; Dalton Gardens - $2.54; Donnelly - $2.90; Driggs - $2.70; Eden - $3.10; Emmett - $2.80; Franklin - $2.56; Fruitland - $2.71; Gooding - $2.64; Hagerman - $2.80; Heyburn - $2.69; Idaho Falls - $2.56; Kellogg - $2.69; Kimberly - $2.76; Lewiston - $2.78; Melba - $2.96; Moscow - $2.79; Oakley - $2.90; Orofino - $2.73; Parma - $2.76; Pocatello - $2.64; Post Falls - $2.59; Rigby - $2.61; Twin Falls - $2.66; Weiser - $2.71.