Fuel Prices at Lowest Point in Eight Years

By Paul Riegler on 3 December 2015
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DSC_0922The average price of gasoline and diesel fuel has continued to fall as the end of the year approaches, and experts foresee the drop to continue through at least the end of the year.

At the start of the week, the average price for a gallon of diesel was $2.482, down $0.024 from last week’s price and $1.184 less than what motorists were paying at the pump a year ago.

Meanwhile, the average price of a gallon of gasoline in the United States was $2.059, a $0.035 drop from a week ago and $0.719 lower than the same period last year. Gas prices during the Thanksgiving holiday this year were the lowest on average since 2008.

The price to fill a typical car with gasoline was roughly $28, a $20 drop from what it cost in 2013.

In Chicago, the average price for gas fell below the national average for the first time since 2012 and is hovering close to $2. The price in Michigan hit a six-year low at $1.81 per gallon according to AAA Michigan, and the price per gallon in Saginaw was $1.71, giving the state the distinction of having the lowest gasoline prices in the nation.

Other states with cheap gas include Oklahoma and Missouri at $1.80 per gallon, South Carolina at $1.81, and Ohio at $1.82 according to GasBuddy.com. States with the highest cost are Alaska at $2.33, Washington at $2.45, Nevada at $2.53, California at $2.69, and Hawaii at $2.81.

Oil prices in the United States fell below $40 a barrel Wednesday thanks to the tenth weekly rise in U.S. inventories, nearing record levels. The glut has been unexpected as inventories typically shrink at this time of the year. Other contributors to falling gas prices include a slowdown in China’s economic growth.

Fuel prices are expected to remain at low levels at least through February.

(Photo: Accura Media Group)