Gas prices stay down as gas supplies build and trade war fears persist

Delaware Valley drivers continue to get a break at the pump as prices dropped for another week.

Delaware gas prices dropped four cents over the past week.

Crude oil prices have remained lower, climbing only 37 cents since last Friday. Gasoline stocks grew this week, adding to the factors keeping pump prices in check.

At the close of NYMEX trading Friday, West Texas Intermediate (WTI) crude oil settled at $54.87 per barrel, 37 cents higher than last Friday’s close.

Crude prices bounced around this week based on concerns that a trade war between China and the U.S. will lead to a global economic slowdown  Also in the news was the potential for further oil production cuts from OPEC. 

“Although gasoline demand increased week-over-week, the jump in gasoline stocks helped keep gas prices lower locally and nationally,” said Jana L. Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic.  “Prices throughout the Delaware Valley are at least 15 cents lower than they were on Memorial Day.”

Layoffs began at the shuttered Philadelphia Energy Solutions (PES) refinery in South Philadelphia this week. While there are few expectations of gasoline production from the two-refinery facility, there are no concerns about gasoline supply with plenty of European refiners willing to offset the loss of local supply.

The June 21 fire occurred in the refinery’s alkylation unit, where crude oil is turned into fuel. The 335,000-barrel-per-day refinery was the largest and oldest on the East Coast. 

For gas prices in your area, log on to the AAA Fuel Price Finder (http://www.AAA.com/fuelfinder).