Following the slow decline in price which started a couple of months ago, gas prices are still falling, without showing large hints that it may be stopping this decline soon.
According to the AAA Fuel Gauge report done on a weekly basis, the price of gas has now reached the lowest point since the Thanksgiving of 2008. This decline is more than likely due to the revisions done to refineries and fuel supply routes, along with the coming of the winter season.
During winter, it is commonly expected for fuel demand to drop while its supply remains on an increase. Add to this the continued increase in strength which the US dollar has shown during this year and this price may continue to fall way into the coming year of 2016.
The largest drop in price has been in the Lockport area, with differences of almost a dollar since last year during the same time, 3.20 dollars to 2.26 dollars. This has also seen a fall in the last two weeks in order to reach 2.26 dollars, as the report showed the price reaching 2.32 dollars.
But the lowest price in the east and central states was noticed in Hutchinson, with a cost per gallon average price of 1.48$.
The average gallon price on a nationwide scale is around 2 dollars, and the possibility of it falling past that point in the coming weeks is more than likely due to the over saturation of supply which comes during the winter period.
The only way through which these prices will go up is if something completely unplanned for that brings an extreme shortage in oil supply happens in the near future. One other way that can make this increase plausible is the outcome of the UN conference held in Paris since this week’s Monday, a conference which revolves around climate change and global warming.
Following President’s Obama pledge to take responsibility for the state in which global warming is currently at today, by making the US take the lead position in the attack of climate change worldwide, certain regulations concerning gas emissions and other such elements might target gas manufacturers across the nation.
Even if it will come to the dismay of many because it may lead to an increased gas price, regulating the production and distribution of gas and oil in a more severe way might help the global movement of quelling the rise of temperatures. But that has yet to be seen exactly, as the conference will continue in the following two weeks.
Because gas prices are still falling, people might opt to travel more during this season, as it was seen how low gas price urged people to visit more places during Thanksgiving as well, making it a very busy and traffic intense holiday to say the least.