Gas Prices Continue Falling

The average price in western PA of a gallon of self-serve, regular gasoline fell more than 13 cents this week. That brings the price of a gallon to $2.795. Worries among traders and investors about future growth have also brought the price of oil down. The price of one barrel has fallen $5 since last week brining the price per barrel down to $64.00. That is the lowest price in 16 months and has fallen more than 50 percent since July. The national average for a gallon of regular, self-serve is $2.63. Retail prices fell more than a dollar per gallon, the largest one month drop on record, putting the average 22 cents lower than it was one year ago. OPEC has responded to the diving oil prices by cutting production by 1.5 million barrels per day. They will reconvene if this trend continues. The U.S. Department of Energy will release oil and gasoline inventories Wednesday. Inventories are expected to be up, putting additional pressure on prices to drop. It appears that there is more oil in the market than necessary. The lowest average price this week in Western PA was recorded in Brookville: $2.506. The highest average price this week in Western PA was recorded in Warren: $2.899