The national average price of gasoline declined by 8 cents per gallon in the past week and we anticipate retail prices will continue to decline in the week ahead. Prices in the vast majority of states across the country declined but the Midwest Region reported the steepest declines.
Kentucky's average price dropped by 11 cents per gallon in the past week and Michigan's declined by 10 cents. The average prices for Ohio, Indiana and Wisconsin all fell by 9 cents per gallon.
Some states were not as fortunate and actually saw increases from the previous week; South Dakota (.06); Montana (.02) and Alaska (.04).
Oil dipped below $78 per barrel for West Texas Intermediate today while Brent has fallen to $102 per barrel. With the declines last week in the financial markets and no indications of immediate economic growth ahead, it's reasonable to expect retail fuel prices to continue to decline incrementally.
For this week we anticipate another week of falling gas prices in most areas of the U.S. with exceptions being the Rockies, Alaska, Hawaii where little to no change is foreseeable. We remain concerned about the volatility of the Great Lakes region where any uptick in wholesale prices can trigger a disproportionate spike in retail prices.
Diesel is down 3 cents per gallon from last week to $3.82 and is on track to decline between between 10/25 cents per gallon in the weeks ahead.