Posted in: Default,
by Patrick DeHaan on Aug 31, 2009 10:59 AM
It sure seems like gasoline prices haven't moved much lately, hovering around the same level as a few weeks ago. According to our GasBuddy data, the average price for a gallon of regular gasoline is $2.604, nearly the same as yesterday.
Prices have been slow to move as a result of a seemingly constant up/down change in wholesale gasoline prices. Prices have been stuck in the $2.60-$2.65 range since August 6 when they were $2.59.
With the end of summer driving season nearly upon us, we can expect prices to decrease as refiners switch to production of winter blend fuels which contain more butane and are typically cheaper to make than lower-polluting summer gasoline.
At this time, I forecast the U.S. price average to be $2.50-$2.70 for the next month or so before dropping again ahead of winter. Prices this winter will likely remain between $2.27-$2.49. The "disclaimer" continues to be how world economies fare. If China, European, and American economies grow faster than expected, gasoline prices could easily be twenty to forty cents higher than forecast.