The cost for a barrel of oil fell last week for the sixth week in a row and remains below $95 a barrel. Although crude prices moved lower, retail gas prices remained relatively flat from the week prior.
Increased supplies continue to place bearish pressure on oil prices. U.S. stockpiles of crude oil rose for the eighth week in a row as refinery output climbed to a 24-year high, according to the Energy Information Administration. Stockpiles increased by 2.6 million barrels to 388 million barrels and refinery output jumped by 123,000 barrels. Although crude prices inched lower, the price for a gallon of gas fluctuated a few cents in both directions.
“Gas prices are still looking good for the upcoming holiday weekend,” said Jessica Brady, AAA spokeswoman, The Auto Club Group. “Pump prices have stabilized a bit, but remain below last year's averages. Even if gas prices were to move higher in the next couple of weeks, they're not expected to have a major impact on holiday travel plans.”
The national average price of regular unleaded gasoline is $3.21, 2 cents more than last week.