AAA: Plunge in oil prices causes gas prices to drop

Palm Coast Observer
News

by: Mark Jenkins

Spokesman, AAA - The Auto Club Group

Florida gas prices are slowly adjusting to the recent crude oil price plunge. Sunday's state average has slipped to $3.30 per gallon, after declining 4 cents during the past week. That downward trend is likely to continue this week, unless oil prices suddenly rebound.

Visit GasPrices.AAA.com to view daily gas prices.

Crude oil prices plummeted after Thanksgiving, on concerns about how the omicron variant could impact global fuel demand. The price of US crude dropped 13% after Thanksgiving and remained down all last week. Friday's closing price of $66.26 per barrel is 15% below the price on the Wednesday before Thanksgiving. It's also 21% below the 2021 high of $84.15/b - which was recorded nearly four weeks ago.

"An oil price drop of that magnitude, if sustained, could potentially drive the state average back below $3 a gallon," said Mark Jenkins, spokesman, AAA - The Auto Club Group. "But it won't happen overnight. Florida pump prices are falling at a rate of 1-cent a day. Unless that rate accelerates, it could take a few more weeks before pump prices fully adjust."

Regional Prices:

Most expensive metro markets – West Palm Beach-Boca Raton ($3.48), Naples ($3.37), Fort Lauderdale ($3.35)
Least expensive metro markets – Crestview-Fort Walton Beach ($3.17), The Villages ($3.19), Pensacola ($3.23)