Price at the pump stable, but could drop as crude oil tumbles

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Drivers across the Delaware Valley saw little movement at the pump over the last week. However, crude oil prices dropped eight percent Thursday, leaving open the possibility of a price drop in the coming days.

CURRENT AND PAST GAS PRICE AVERAGES
Regular Unleaded Gasoline (*indicates record high)

8/2/19

Week Ago

Year Ago

National

$2.72

$2.74

$2.87

Pennsylvania

$2.88

$2.90

$3.06

Philadelphia
(5-county)

$2.90

$2.92

$3.08

South Jersey

$2.71

$2.72

$2.84

Delaware

$2.49

$2.50

$2.78

Crude Oil

$55.66
per barrel
(Fri. 8/2/19 close)

$56.20
per barrel
(Fri. 7/26/19 close)

$68.49
per barrel
(8/3/18)

At the close of NYMEX trading Friday, West Texas Intermediate (WTI) crude oil settled at $55.66 per barrel, 54 cents lower than last Friday’s close.

Oil prices rallied during the first half of the week, following the Energy Information Administration’s (EIA) report citing a larger-than-expected dip in U.S. oil inventories and the interest rate cut made by the Federal Reserve.

However, after the announcement that the U.S. would impose new tariffs on Chinese goods, prices dropped Thursday by more than $4 per barrel, the biggest single-day decline since February 2015. The fear is that these new tariffs could lower demand for oil and raise the risk that China could retaliate by imposing tariffs on U.S. oil.

Local drivers saw little change at the pump this week, as prices remained relatively stable,” said Jana L. Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic. “Prices could decrease slightly based on this week’s sharp drop in oil prices, which would be welcome news for motorists as summer road trips gear up for the final weeks of the season.”

New data revealed that gasoline demand dropped last week, approximately 100,000 barrels per day less than the previous week and 300,000 barrels per day less than last year at this time. In addition to a decline in gasoline demand, cheaper crude price — ranging between $12 to $15 per barrel less when compared to last year — has helped motorists see lower pump prices this summer.

To find out fuel prices in your neighborhood, log on to AAA’s Fuel Price Finder(http://www.AAA.com/fuelfinder) locates the lowest fuel price in your area.

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