Here we are! It is Labor Day Weekend 2015. While most Americans are planning cook-outs or savoring an extra day to rest or play, others have travel plans to capture that last trip or event for summer vacation. If you subscribe to old-school etiquette, it’s your last chance to wear white.
Whether you are driving around your city shopping for items to put on the grill, or have planned an in- or out-of-state trip, most motorists are not complaining about gas prices this holiday weekend. Fuel sources and analysts are reporting that the price of gasoline is $1 less than this time last year.
At the start of the 2015 Memorial Day Weekend, the average price of a gallon of unleaded gasoline was $2.73. Prices peaked around mid-June at $2.81, and have been in a slow but steady downward decline to this Labor Day weekend. That’s good news for U.S. motorists.
GasBuddy.com is reporting the following prices for today, September 5, 2015:
One Week ago $2.493
One Month ago $2.634
One Year ago $3.437
Needless to say, an extra $10, $20, or more saved at the pump translates to spending in other areas of the U.S. economy.
Problems with gas price spikes in the midwest have all but disappeared following the repair of BP’s Whiting, IN refinery in late August. While some states are reporting prices for regular gasoline at or hovering around $2 a gallon, some of the highest gas prices can be found in the west with Alaska ($3.40), California ($3.31) and Nevada ($3.11) at the top of the list [Ref 1].
California continues to manage their gasoline inventory following the explosion at the ExxonMobil refinery in Torrance on February 18th. While per gallon gasoline costs in the state is higher, importing gasoline from other states has reduced price spikes that were approaching $5 per gallon in some areas of southern California due to local shortages.
Enjoy the Labor Day weekend and holiday, everyone. AAA reports that market forces are bearish on gasoline prices falling further and reaching an average of $2 per gallon later this fall. Impacting factors include China’s slowing economy and the potential for Iranian oil to reappear in the markets of western nations including the U.S. According to AAA, these events are expected to keep downward pressure on global crude oil prices.
Until our next gasoline price check, happy motoring everyone.
1. Gas prices to be lowest for Labor Day in 11 years, by Paul Davidson for USA Today, September 4, 2015, http://www.usatoday.com/story/money/2015/09/03/labor-day-gas/71654422/
2. Drivers To Pay Lowest Labor Day Gas Prices Since 2004, in AAA Daily Fuel Gauge Report, http://fuelgaugereport.aaa.com/drivers-to-pay-lowest-labor-day-gas-prices-since-2004/