The plunge at the pump continues throughout the Delaware Valley.
Across the country, gasoline demand is down as much as 50 percent, while at the same time, inventories have risen to a record high. Crude prices hit a low not seen since 2002 this week, as crude demand continued to drop. This imbalance means gas prices should continue to move lower.
The average price at the pump moved toward the $1.80 mark in Delaware.
Costco continued to aggressively price gas. Its members-only station near Christiana Mall, Newark, posted a price at the pump of $1.52 a gallon. Rival BJ’s was a penny more.
- Pennsylvania gas average at $2.08 today, unchanged overnight and down 3 cents in the last week.
- New Jersey gas average at $2.05 today, down a penny overnight and down 4 cents in the last week.
- Delaware gas average at $1.82 today, down a penny overnight and down 3 cents in the last week.
- Maryland gas average at $1.93 today, unchanged overnight and down 2 cents in the last week.
- Philadelphia (5-county) area gas average at $2.19 today, down a penny overnight and down 4 cents in the last week.
- S. Jersey gas average at $1.99 today, unchanged overnight and down 4 cents in the last week.
- National gas average at $1.81 today, unchanged overnight and down 5 cents in the last week.
On Monday, oil prices crashed and hit the $8 a barrel mark down $10 a barrel from Friday.
Crude’s poor performance is the result of the major slowdown in demand for oil and expected growth in surplus supplies.
On Wednesday, the Energy Information Administration (EIA) reported a more than 19 million-barrel weekly increase in U.S. crude supplies – the 12th straight weekly increase and the largest weekly climb on record.
A recent agreement by the Organization of the Petroleum Exporting Countries (OPEC+) and its allies reached Sunday, will cut crude production but will likely make little difference on pump prices. The ongoing impact the COVID-19 pandemic continues to have on crude oil prices and gasoline demand.
“As motorists in the region continue to stay at home amid COVID-19 challenges, crude and gasoline prices are likely to remain low,” says Jana L. Tidwell, manager of Public and Government Affairs for AAA Mid-Atlantic. “The oil market is considerably oversupplied and there is an overabundance of gasoline, coupled with demand levels not seen in over 50 years, pushing pump prices lower.”
In a report Thursday, OPEC cut its expectations for crude demand and said it now sees 2020 demand falling by 6.8 million barrels a day. The near-term demand picture remains front and center as well, with analysts looking for it to continue sliding at least through May.
To check out prices in your neighborhood, log on to AAA’s Fuel Price Finder (http://www.AAA.com/fuelfinder).
