The Week

Pump prices continue to dip across Maryland this week, as the state average is down 14 cents since August 1. AAA forecasts that the majority of motorists in the Northeast and Mid-Atlantic region will likely find savings of potentially 25 cents/gallon compared to the average gas price this summer. Gas prices are poised to continue pushing less expensive due to several factors, including less expensive crude oil prices, the drop-off in gasoline demand after Labor Day and the move to winter-blend gasoline.

The gas price average in Maryland today is $2.51, which is down three cents in the last week, 18 cents in the last month and is 27 cents lower than on this date last year.

Today’s national gas price average is $2.60, down respectively three cents in the last week, 15 cents in the last month and 23 cents from this time last year. AAA forecasts the national average to drop to $2.40 or lower this fall.

CURRENT AND PAST GAS PRICE AVERAGES 

Regular Unleaded Gasoline

At the close of NYMEX trading Friday, West Texas Intermediate (WTI) crude oil settled at $54.17 per barrel, 70 cents lower than last Friday’s close. Prices rose higher Thursday after data showed a heavy drawdown in U.S. crude inventories, but continued concerns over the global economy kept increases temperate. The continued glut of oil encouraged the Organization of the Petroleum Exporting Countries (OPEC) and its partners to extend their 1.2 million b/d production reduction agreement through the end of the year. However, so far, reduced supply from OPEC and its partners has not led to a sustained higher price for crude.

The Weekend

“Falling gas prices are not usual at this time of year but cheaper crude oil has served as an accelerator, which has been a nice treat for motorists as summer comes to a close,” says Ragina C. Ali, Manager of Public and Government Affairs for AAA Mid-Atlantic. “The AAA gas price forecast also bodes well for anyone planning a road trip this fall.”

The Week Ahead

AAA predicts fall gasoline prices will be significantly less expensive than this summer with motorists finding savings in every market across the country. Many factors are driving this decrease, but the low price of crude oil is chief among them. AAA forecasts crude prices to range between $50 and $60 per barrel this fall, a considerable drop from last autumn. As always, hurricane season has the potential to cause declining gas prices to shoot back up. This month, the National Oceanic and Atmospheric Administration predicted that 2019’s Atlantic hurricane season is expected to be above normal, with 10 to 17 named storms, including five to nine hurricanes. The mere threat of a hurricane making landfall can shutter domestic crude production, leading to spikes in crude and gasoline prices.

AAA has a variety of resources to help motorists save on fuel:

• Shell Fuel Rewards Program for AAA Members: (https://www.AAA.com/Shell) gives AAA members nationwide a discount on gasoline at Shell stations when they join the Fuel Rewards® program.

• Fuel Price Finder (https://www.AAA.com/fuelfinder) locates the lowest fuel price in your area. 

• AAA Gas Cost Calculator (https://gasprices.aaa.com/aaa-gas-cost-calculator/) helps budget travel expenses. 

• TripTik Mobile (https://www.aaa.com/mobile) plots fuel prices along your travel route. 

• AAA's Member Rewards Visa® Credit Card (https://www.AAA.com/financial/AAAvisa.htm) accumulates double points on fuel purchases. 

AAA is the most comprehensive resource for gas prices. AAA reports reflect actual prices from credit card transactions at more than 100,000 gas stations in the U.S.

Next Weekend Gas Watch: Friday, August 30, 2019

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AAA provides automotive, travel and insurance services to over 59 million members nationwide and more than 982,000 members in Maryland.  AAA advocates for the safety and mobility of its members and has been committed to outstanding road service for more than 100 years.  The not-for-profit, fully tax-paying member organization works on behalf of motorists, who can now map a route, find local gas prices, discover discounts, book a hotel and track their roadside assistance service with the AAA Mobile app for iPhone, iPad and Android.  For more information, visit AAA.com.