Average U.S. gas price steady over past two weeks: Lundberg survey
Reuters
Published Aug 23, 2015 05:35PM ET
Average U.S. gas price steady over past two weeks: Lundberg survey
By Jeffrey Dastin
(Reuters) - The average price of a gallon of gasoline in the United States remained steady in the past two weeks, as price rises in several Midwest cities offset cuts in the West, according to the Lundberg survey released on Sunday.
Regular grade gasoline dropped just one-third of a cent to average $2.71 per gallon, according to the biweekly survey conducted on Aug. 21.
While a rebound in gasoline supply has helped lower prices in California, motorists elsewhere in the country reeled from increases as the largest crude distillation unit of BP PLC's (L:BP) Whiting, Indiana refinery remained closed for repairs.
The average price of gasoline is down 77 cents a gallon from the same year-ago period, according to the survey.
"From here, big retail gasoline price cuts are very likely, unless crude oil prices reverse course and climb back up to the May and June levels," said survey publisher Trilby Lundberg in Camarillo, California.
U.S. crude CLc1 touched a new 6-1/2-year low of $39.86 per barrel on Friday following weekly data that showed U.S. energy firms added two oil drilling rigs last week, the fifth increase in a row. It settled at $40.45 a barrel.
The rise in the number of rigs emerging after a second-quarter lull in prices is adding to concerns that U.S. shale production is responding slowly to falling prices, prolonging a global glut.
Lundberg said the lower U.S. crude price may cause refiners and gasoline retailers to slash selling prices - spoiling their currently wide margins - as they try to gain a leg up on their competition.
"Retail gasoline prices may well fall more than 20 cents per gallon in coming weeks if crude oil prices do not surge," Lundberg said.
The highest-priced gasoline in the survey area of the 48 contiguous U.S. states was in Los Angeles at $3.67 per gallon, down from $3.80 in the Aug. 7 survey.
The lowest price was in Charleston, South Carolina at $2.10 per gallon.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.