Gas prices continued their downward trend for the third consecutive week, following Hurricane Sandy’s impact on the northeastern U.S.
Many industry analysts have been predicting that gas prices could move higher in the short term, but the overall dynamic favors lower prices due to demand destruction, according to a report released on Wednesday by AAA.
After reaching an October peak price of $3.82 per gallon (Oct. 8), the national gas price average has dropped considerably during the past two weeks. The national average price for a gallon of regular self-serve gasoline has fallen for 17 straight days to $3.58 per gallon Friday, its lowest level since August 4th.
Prices at the pump have finally begun their seasonal decline, about one month later than usual. Although gas prices are higher than ever for this time of year, a downward trend has begun across the country.
Gasoline prices continue to stabilize in the Northeast, following an unusual autumn spike over the past two weeks.
While there are some signs of relief for motorists, as gas prices have fallen for 19 of 21 days (nationally), price relief has not spread evenly across the country, where the exception has been in the Northeast and West Coast where extremely tight supplies have seen prices move dramatically higher.
Prices at the pump continue to retreat from an atypical September rally of daily gas price records, where prices peaked at $3.87 per gallon nationally. Despite these record highs, prices have begun to decrease following the end to the summer driving season, the resolution of regional supply and distribution issues, and the end of summer-blend gasoline specifications for much of the country on September 15.