Low gas prices expected to get even lower by Thanksgiving - Cincinnati News, FOX19-WXIX TV

Low gas prices expected to get even lower by Thanksgiving

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LIBERTY TOWNSHIP, OH (FOX19) -

Nationwide gas prices have dipped nearly four-percent over the past 11 days.

Triple-a says the average price across the country is 3.67 per gallon, but locally some stations have dropped their prices below the three dollar mark.

Lower prices at the pump come as a relief to many consumers struggling in these tough economic times.

Industry experts say the decline in gas prices is partly seasonal as Americans are driving less than they did over the summer and supplies are relatively high which means good news when we go to the pump.

Mike Brown of Liberty Township says low gas prices are a welcome sight. "I'm just glad to see gas down low enough where I can afford to do what I need to do every day."

Brown filled up today with some of the cheapest gas in the area at $2.93 a gallon at a Marathon station in liberty township. He says gas prices have a direct impact on his budget. "A very large impact....if gas prices are high you really can't do as much for the family as you can when gas prices are lower."

Noah May of Monroe lives on a fixed income and says he takes advantage of low gas prices whenever he can. "I pulled in here. I said I'm going to fill it up because tonight it might go back up to 4-dollars."

Its those fluctuations that have gotten people very sensitive to gas prices.

Bruce Pool of Liberty Township says he's always shopping for a bargain. "I try to get the cheapest I can when I'm out. You know, if I see it here and I'm traveling around I try to look for the cheapest and then go back and get the cheapest."

Fox 19's financial analyst Nathan Bachrach says there's a simple reason for low gas prices. "We're seeing low gas prices right now because all of the sudden we've figured out we've got 6-million more barrels of inventory in the united states than we thought we had before. You know how it is with supply and demand . We've now got more supply, demand is down and prices are cheap."

Bachrach says low prices at the pump won't last forever. "The long term trend has good and bad news. The good news is we're going to be producing more oil than ever before. In fact, I'm guessing between 2014 and 2015 more oil produced in this country than Saudi Arabia. The bad news is that its probably going to be expensive as demand goes up because the rest of the world is going to be recovering and wanting to buy more oil."

In the near term prices are expected to fall another 30 cents a gallon by Thanksgiving. 

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