Economy continues to send gas prices south

By Palm Beach Business.com

DELRAY BEACH — The sluggish economy continues to push down gasoline prices, and promises to keep them down, according to the AAA.

The U.S. Energy Information Administration said regular gasoline prices have dropped about 9 cents over the past week to a national average of $2.528. That’s down from a peak of $2.693 during the week of June 15.

EIA spotted the Florida average at $2.559 a gallon, down from $2.634 a week ago and down from its June 15 peak of $2.688.

AAA’s daily Fuel Gauge Report on Wednesday put the Palm Beach County average at $2.617; a month ago it was at $2.758. Regular at prices below $2.60 were not all that uncommon around Delray and Boynton Beach, however.

Broward County still has the cheapest gas in the region at $2.556 a gallon for regular.

Gainesville replaced Palm Beach County as having the highest prices in Florida, with an average of $2.674 a gallon, according to AAA.

Diesel, meanwhile, was averaging $2.64 a gallon in Palm Beach County.

The sluggish economy as well as supply and demand fundamentals led to the steepest week-to-week drop this year in the price of crude oil — $6.84 per barrel — are expected to push retail gasoline prices lower in the weeks ahead, according to AAA. Prices that peaked at $72 a barrel in mid-June have fallen to below $60.

“Retail gasoline prices are impacted by a variety of factors, some of which also have a direct bearing on crude oil but, there’s no doubt the current downward trend for crude is greatly influencing the daily declines in the price at the pump,” said Gregg Laskoski, managing director of public relations for AAA Auto Club South.