Valdosta, GA- June gas prices will start the month off on a downward trend. The cost for a gallon of regular gasoline dropped in the Southeast and prices are likely to fall further as the week progresses.
The nation’s oil inventories rose by 3 million barrels during the last week of May and climbed to an 82-year high. At the same time, U.S. oil output is at its highest level since 1992. In addition, OPEC decided to keep current oil production levels, even though worldwide demand is down.
“Unless there is an uptick in consumer demand or a major storm that disrupts refinery production, gas prices will likely continue on a downward path this month,” said Jessica Brady, AAA spokeswoman, The Auto Club Group. “Not only is fuel demand relatively weak, but consumer spending is down year-over-year; two factors that will keep bearish pressure on prices.”
The cost for a barrel of closed last Friday at $91.97 on the New York Mercantile Exchange — $2.18 less than the week prior.
The national average price of regular unleaded gasoline is $3.62, 1-cent less than last week. Florida’s average of $3.46 dropped 2 cents from last week. Georgia’s average price for a gallon of gas is $3.44, 4 cents less than last Sunday.