It's no secret that the inflated American economy has been felt in our wallets. Groceries are more expensive, rent hikes are happening, and gas pumps seem to enjoy taking all the pennies we have left.
However, good news is in store for consumers; according to AAA, the national average price for a gallon of gas has dropped by 7 cents, which is almost 2% down. And by the end of this October, experts predict that gas prices could drop by another 50 cents per gallon. Talk about welcomed relief! This would be just in time for holiday traveling.
Patrick de Haan, GasBuddy's petroleum analysis head, recently shared some encouraging statistics. Right now, the average price for a gallon of gas in the U.S. is $3.72, and by the end of the month, he expects the average cost to drop to around $3.20 per gallon.
GasBuddy data shows the current national average at $3.722/gal, the lowest level since July. I expect October will be filled with treats in the form of falling #gasprices for motorists in every state. Bottom for the nat avg as of now: $3.20/gal, but that target could likely move.
— Patrick De Haan ⛽️📊 (@GasBuddyGuy) October 5, 2023
Savings Vary per State
Of course, these numbers are averages, and it's important to note that prices vary significantly per state. For example, Georgia currently has the lowest average gas prices out of all 50 states, with prices around $3.10 per gallon. At the same time, California has the highest gas prices out of all 50 states, with prices around an astonishing $5.88.
De Haan predicts a significant drop in prices for California in the coming weeks, stating, “California will easily fall $1/gal by Thanksgiving, roughly triple the drop we expect in the national average.”
What Do Other Experts Say?
But before anyone gets too excited, there are other reports from the U.S. Energy Information pointed out that oil prices will increase through the end of the year as global inventories drop, and they expect to see the average price for a barrel of crude oil to increase by 6% in the last quarter of 2023. This would translate to a 12-cent per gallon of gas increase by the end of the year.