are gasoline prices dropping
And waning international growth has led to a drop in demand for crude. West Texas Intermediate, the main oil contract traded in New York, is selling at $81.78 US a barrel today, and Western Canada Select, the price paid to many Canadian producers, is at $68.98 US. American workers and motorists got some badly-needed relief this week when the price of oil plunged to its lowest level in years. The oil price has fallen by about 25 percent since its peak back in June of $105 a barrel. This is translating to lower prices at the pump with many states now below $3 a gallon. At present levels, these lower oil and gas prices are the equivalent of a $200 billion cost saving to American consumers and businesses. That's $200 billion a year we don't have to send to Saudi Arabia, Kuwait and other foreign nations. Now that's an economic stimulus par excellence. The pain oil producers feel with oil prices hovering just above $80 a barrel is a bonus for consumers filling up at the gas pump. Gasoline prices are at a five-year low in Canada, leaving more money in consumers’ pockets. Prices have dropped to the $1.11 a litre level in some parts of Ontario, as low as $1.03 in Edmonton, $1.25 in Vancouver and $1.22 in St. John`s, a sharp price drop from the early summer. The Canadian average was about $1.23, according to Roger McKnight, an analyst with En-Pro International, The oil price has fallen by about 25 percent since its peak back in June of $105 a barrel. This is translating to lower prices at the pump with many states now below $3 a gallon. At present levels, these lower oil and gas prices are the equivalent of a $200 billion cost saving to American consumers and businesses. That’s $200 billion a year we don’t have to send to Saudi Arabia, Kuwait and other foreign nations. Now that’s an economic stimulus par excellence. There are many global reasons why gas prices are falling, but the major one isn’t being widely reported. Oil prices are falling because of changes in world supply and world demand. Demand has slowed because Europe is an economic wreck. But since 2008 the U.S. has increased our domestic supply by a gigantic 50 percent. AAA reports the average national price for a gallon of regular unleaded gas fell for 16 straight days earlier this month, with the average price as of Monday standing at $3.34 per gallon. That's the lowest national average in more than seven months. What’s behind the sudden drop in U.S. gas prices? 117970117969117969What's behind the sudden drop in US gas prices?According to AAA, the average price of a gallon of regular gas in the U.S. dropped from $3.52 in late July to $3.12 today. According to AAA, the average price of a gallon of regular gas in the U.S. dropped from $3.52 in late July to $3.12 today. Isaac Arnsdorf, an energy and commodities reporter with Bloomberg News, joins Hari Sreenivasan to explain the factors contributing to the drop. GasBuddy chief oil analyst Tom Kloza said you may not be seeing gas selling below $3 a gallon in places like California, New York, Connecticut or Chicago, but we believe that more than 30 states could see prices fall below that number during the Christmas shopping season.. Featuring CBSN, 24/7 live news. Why gas prices could drop below $3 a gallon. Don't look now, but there's good possibility the average price for a gallon of gasoline in the U.S. might drop below the $3 threshold in the near future.
Yes,gasoline prices dropping.