US: gas prices once more on a declining trajectory image

After gasoline prices at the pumps recovered a bit and posted a new peak in March, with US refineries under full steam and producing at their highest seasonal rates in a decade, retail prices fell once more this month.

According to the traditional Lundberg Survey, the average price of regular gasoline in America seen during the three weeks ending April 10 dropped to $2.4480 a gallon, declining by 5.11 cents. The survey tallies figures from around 2,500 filling stations and showed that prices have gone down $1.16 from the same period in 2014. Gasoline once more dropped after posting on March 6 a high of $2.5384 a gallon – the new fall is attributable to refineries ending seasonal maintenance once more ramping up on processing quotas. “The surging gasoline demand is encouraging refiners and retailers to cut price whenever they can in order to chase sales,” commented Trilby Lundberg, the president of Lundberg Survey. He said refiners and retailers are allowing their earnings margins to fall even further as demand has soared sky high.

The Lundberg report showed the top paying customers in the lower 48 states were in San Francisco, where drivers refilled their cars at an average of $3.13 a gallon. The best price could be found in Charleston, South Carolina, where buyers only needed $2.10 on average for a gallon of regular gasoline. Since last year, when the global overproduction of oil triggered a massive drop in price, US drivers have been blessed with consistently low gasoline prices – the best they saw even from before the 2008 – 2009 economic crisis. The situation has favored the sales of new vehicles in the “gas guzzling” category, with deliveries of SUVs, crossovers and pickup trucks edging over the growth in the passenger car segment.

Via Bloomberg