Gas prices are down 86 cents since June 14. reached a record average of $5.02. In the last month alone, the national average has fallen by 65 cents.
According to AAA, nineteen states have average gas prices below $4, including Ohio, Iowa and Wisconsin.
“When people pay and see $100 a bill, they panic and go apoplectic,” said Tom Kloza, global head of energy analysis at the Oil Price Information Service.
Whatever the reason, falling prices at the pump are a boost for consumers struggling with high prices for food, rent and everyday goods.
While the national average price is $4.16 per gallon, Kloza noted that this amount is inflated by high prices in places like California. On the other hand, the average price based on OPIS is $3.99.
Some analysts say prices will continue to drop, especially as the summer driving season approaches.
“There’s more room to continue in this series,” Kloza said.
Andy Lipow, president of consulting firm Lipow Oil Associates, expects the national average to drop to $4.10 a gallon in the next 7 to 10 days and to $4 by Labor Day.