RigData Insights

Fuel prices fall, but relief may be short lived

  • Thursday, November 30, 2017
  • Posted By Meagan Wildfong

113017blog Source: Fuel Fix | Jordan Blum | November 27, 2017

 

Prices at the pump continued to fall throughout the holiday week, but those savings may prove short lived with crude oil prices rising and a new OPEC deal expected this week.

 

Gasoline costs fell by more than 3 cents locally and by about 4 cents nationwide last week. That brings the Houston-area average for a gallon of regular unleaded down to $2.18 and the nationwide cost to $2.49, according to GasBuddy, which tracks fuel pricing throughout the U.S.

 

 

However, oil prices hit new two-year highs at the end of last week at nearly $59 a barrel for the U.S. oil benchmark. Later this week, the Organization of the Petroleum Exporting Countries is expected to extend its production cuts agreement for several more months, which could further stabilize oil pricing.

 

These developments could send fuel prices back up in December, even though gasoline costs typically fall during the winter because of the cheaper winter-grade fuel supplies that are produced by refineries.

 

 

"Gasoline prices took a breather heading into Thanksgiving which may last another few days, but as oil prices perk back up heading into OPEC's annual meeting, we may see a rebound soon," said Patrick DeHaan, head of petroleum analysis for GasBuddy.

 

To finish article from the Fuel Fix, please click here.

 

OPEC Fuel cost Oil Gas Prices

Archives


Topics




Login

Forgot your password?

Retrieve Your Password

Enter your email address and we will send you an email with instructions to reset your password.