The average price of a gallon of regular unleaded gasoline in the Lehigh Valley fell 4.5% on Wednesday from its high on June 12, although it is still 51% higher than it was a year ago.
The AAA Automobile Club said this week that the main reason for the modest easing was lower pump demand, as fewer people have been refueled over the past two weeks, with a warning that it may not last: “However, the lull could end with the arrival of the season. Summer Driving”.
Domestic demand for gasoline has declined recently, relieving some pressure from pump prices. About 80% of stations now regularly sell for less than $5 a gallon, AAA spokesperson Andrew Gross said Tuesday, July 5, “but July is typically the busiest month for demand because more Americans hit the road, so this The trend of easing prices could be short-lived.”
But the dynamics of supply and demand are working to the advantage of consumers.
The AAA cites US Energy Information Administration data showing gas demand as of Tuesday at 8.93 million barrels per day, down from last year’s rate of 9.11 million barrels per day at the end of June. Meanwhile, total domestic gasoline stocks rose by 2.6 million to 221.6 million barrels. These supply and demand dynamics, along with lower oil prices, have pushed pump prices lower, AAA says, adding that if these trends continue, drivers will likely continue to see lower gasoline costs.
The price of benchmark US crude oil for August delivery fell 97 cents to $98.53 a barrel on Wednesday. Brent crude for September delivery fell $2.08 to $100.69 a barrel.
Wholesale gasoline for August delivery fell 9 cents to $3.24 a gallon. Heating oil for August fell 19 cents to $3.41 a gallon. Natural gas for August was down 1 cent to $5.51 per thousand cubic feet.
Outside the Lehigh Valley, the average price of a regular unleaded gallon from record highs in June is down 4% across Pennsylvania, 5.6% in Warren County, 5.1% in New Jersey, and 5.5% nationwide .
Diesel prices have also fallen across these markets, including a drop to $6.15 from a record low of $6.53 on May 21 in the Lehigh Valley. Nationally, the average price of a gallon of diesel has fallen to $5.72 from the record high of $5.82 set on June 19; A year ago it was $3.25.
Editor’s note: This article contains a file A graph showing the change in average gas prices From last year, including record highs last month, across the Lehigh Valley, Pennsylvania, Warren County, New Jersey and the United States. Click the link here to view it, as it may not display on all platforms, or to view it in full screen.
The Associated Press contributed to this report.
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Kurt Bresswein can be reached at [email protected].