The national average price of gasoline in the U.S. fell by 3.8 cents last week, reaching $3.09 per gallon, according to GasBuddy’s latest report.
Patrick De Haan, GasBuddy’s head of petroleum analysis, said the decline is modest but warned that rising oil prices could push gas prices back up soon.
Regional differences remain clear. Mississippi and Texas report some of the lowest prices at $2.64 and $2.70 per gallon, while California and Hawaii have the highest prices, at $4.77 and $4.47 respectively.
AAA spokesperson Lauren Fabrizi noted that strong gasoline demand ahead of the Memorial Day holiday marked the start of the summer driving season. However, she said one good week isn’t enough to lower prices significantly, especially as domestic oil production stays near record levels.
Monday’s jump in oil prices could change the outlook. Oil surged nearly 4% after a major drone attack by Ukraine on Russian military airfields destroyed over 40 aircraft and caused fires near Kursk and Voronezh. Russia said it intercepted 162 drones. The attack raised Brent crude prices to $65.15 and WTI to $63.17 by midday.
Goldman Sachs also expects OPEC+ to follow through with a planned production increase of 411,000 barrels per day in August, despite slowing demand. OPEC confirmed a similar rise for July, adding more pressure on crude prices.
Analysts warn that geopolitical tensions and OPEC+ production choices will heavily influence future oil and gasoline prices.
“If oil prices keep rising, gasoline prices may rise too, especially with summer demand peaking,” De Haan said.
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