Lower crude oil prices, declining demand for gasoline and falling wholesale gas prices are putting downward pressure on pump prices. For the week, the national average for regular drops four cents to $2.81 while Oregon’s average slips two cents to $3.36.
Prices are lower week-over-week in every state except Hawaii.
In Hermiston, prices are averaging about $3.19 per gallon.
This price drop is occurring at a time that analysts previously thought would likely see gas price increases due to the Trump administration’s re-imposition of sanctions on Iran which went into effect on Nov. 4.
“If crude oil prices remain fairly steady or move even lower, gas prices should also fall and could plunge as much as 10 cents in the next couple weeks. However, a number of other factors could send oil prices up again which would cause an upward shift in pump prices,” says Marie Dodds, public affairs director for AAA Oregon/Idaho.
Oregon is one of 49 states and the District of Colombia where prices have decreased week-over-week. Ohio has the largest weekly decrease (-12 cents). Hawaii (+1/2 cent) is the only state with a weekly increase. This week eight states have averages at or above $3 a gallon, same as last week.
Oregon is one of five states where prices are higher now than a month ago. The national average is 16 cents less and the Oregon average is four cents more than a month ago.