That’s how many straight days gas prices have declined, with analysts saying the trend may continue through the Fourth of July weekend, but not the whole summer.
Gas prices have set record after record this year, leaving many drivers to ask, “when’s it going to end?” For the short term, at least, you’re getting your answer, with the national average for a regular gallon of gasoline dropping to $4.90 on Monday, down from the record high of $5.02 back on June 14. Recession fears are helping to push the price down, according to AAA, as poor economic forecasts are helping lower demand for crude oil, which is used to make gasoline, diesel, and other fuels. Crude oil closed Friday at $107.62 a barrel, down from this month’s peak of $122.11 on June 8.
Gas prices are up 49% since the start of this year, mainly due to production issues at home and supply issues overseas like the sanctions on Russian crude oil following that country’s February invasion of Ukraine. Prices are up about 177% since the pandemic low of $1.77 per gallon in April 2020. To help ease the price you’re paying at the pump, President Joe Biden urged Congress last week to temporarily halt collection of the 18.4 cents per gallon federal gas tax and asked states to make similar cuts as well.
Gas prices could be as low as $4.75 by July 4, according to a tweet from Patrick De Haan, head of petroleum analysis for gas price tracker GasBuddy. But how long they will stay there remains unclear. Tom Kloza, global head of energy analysis for energy pricing company Oil Price Information Service, recently tweeted that this dip in prices reflects the last bit of relief at the pump before July when summer driving demand is expected to peak. Meanwhile, JP Morgan forecast earlier this year that average gas prices could hit $6.20 by August.
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