California gasoline prices fell for the first time this year – down about 3 cents from Feb 28 says Gas Buddy. The average selling price is now $4.20 – up from $3.95 a month ago and $3.45 as of Jan 1. Prices today are still lower than a year ago by a few cents.
AAA fuel report week offers the following.
“The national average increased for 36 consecutive days from Jan. 17-Feb. 22. During this streak retail prices surged 49 cents per gallon from $3.29 to $3.78, which was just below the year-to-date high of $3.79 on Feb. 27. Since this recent peak, the national average has dropped for five straight days and declined a total of four cents.
Motorists in every state are paying more at the pump than one month ago, however many drivers are beginning to feel some welcome relief. 27 states have an average price that is cheaper than one year ago and 38 states and Washington D.C. are paying less than one week ago. With “spot” gasoline prices (gasoline sold for immediate payment and delivery) dropping dramatically across the country it is likely that retail prices will continue to fall in the coming days.”
Oil analysts seem to agree.
“The savings could widen out to 20 cents to 25 cents per gallon this month,” said OPIS analyst Tom Kloza. “The expanding gap should come as much cheaper wholesale prices work their way downstream and are compared with very steep increases that were characteristic of March 2012.”
The WTI oil price is near $90 a barrel this week,down from near $98 a month ago.
In January the US Energy Agency(EIA) predicted lower crude and gas prices this year.”EIA expects that falling crude prices will contribute to a decline in the national annual average regular gasoline retail price from $3.63 per gallon in 2012 to $3.55 per gallon in 2013 and $3.39 per gallon in 2014, about 11 cents per gallon and 4 cents per gallon higher than forecast in last month’s STEO, respectively. Diesel fuel retail prices averaged $3.97 per gallon during 2012 and are forecast to fall to $3.92 per gallon in 2013 and to $3.82 per gallon in 2014.”