Gas prices may drop below $2 by Christmas in some parts of U.S.

LOW GAS prices also prompted many motorists to take to the road this summer to travel. Estimates from the Federal Highway Administration showed that U.S. driving topped 1.54 trillion miles in the first half of 2015, an all-time high, according to AAA. / BLOOMBERG NEWS/JAMIE RECTOR
LOW GAS prices also prompted many motorists to take to the road this summer to travel. Estimates from the Federal Highway Administration showed that U.S. driving topped 1.54 trillion miles in the first half of 2015, an all-time high, according to AAA. / BLOOMBERG NEWS/JAMIE RECTOR

PROVIDENCE – Gasoline prices in many parts of the United States could drop below $2 by Christmas if the cost of crude oil stays low, AAA Northeast said Wednesday.
“There is good reason to believe that cheaper oil costs, a seasonal decline in driving and the switchover to less costly winter blend gasoline will continue to push down prices through the end of the year,” AAA Northeast said in its September gas report.
However, AAA said crude oil remains the “primary wild card in determining future gas prices.”
“If OPEC cuts production, the Chinese economy grows stronger or if Iranian oil is unable to enter the market, then oil prices could rise and push up the price of gasoline. On the other hand there also is a possibility that oil prices could drop further in the coming months given the weaknesses in the global economy and because refineries conducting maintenance will need less crude oil,” AAA said.
More than 5 percent of all U.S. gas stations are selling gasoline for less than $2 per gallon, and the numbers are growing daily, AAA Northeast said. Last year at this time, no gasoline stations were selling gas for that price, it said.
Gas prices averaged $2.60 in August nationwide, which was the lowest price for the month since 2005. The average price in August was about 15 cents less than in July.
Low gas prices also prompted many motorists to take to the road this summer to travel. Estimates from the Federal Highway Administration showed that U.S. driving topped 1.54 trillion miles in the first half of 2015, an all-time high, according to AAA.

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