Despite a drop in oil prices that has taken Brent crude from just below $100 a barrel three weeks ago to about $92, drivers have not benefited at all. AAA Fuel Gauge shows that the average price of a gallon of regular nationwide was $3.810, down very slightly from last week, but up from $3.748 a month ago.
Among states with very large populations, prices for regular are still well above $4. These include California, New York and Illinois.
Gasoline prices could add to the headwinds that have begun to slow gross domestic product growth and may even put the economy back into recession early next year. People worried about their taxes, wages and jobs can hardly pay $4 for a gallon of gas. That is particularly true for Americans in the middle and lower classes based on income.
Douglas A. McIntyre
Filed under: 24/7 Wall St. Wire, Oil & Gas