Posts Tagged ‘Car’

Price Of Gasoline Reaches New 44-Month Low

October 20th, 2014 by admin

Michael Green Contact Tile(WASHINGTON, October 20, 2014) With oil prices sharply lower over the last several weeks, the national average pump price has followed suit and has now dropped on 25 consecutive days. This tumble has sent the national average to a low not seen since early 2011 and increased the likelihood that the national price at the pump could test the $3.00 per gallon mark for the first time since 2010.

Today’s national average price for regular unleaded gasoline is $3.10 per gallon, representing the lowest price since February 1, 2011. The national average has fallen by a dime since one week ago and is 25 cents less than both one month and one year ago. This year-over-year gap has reached its widest mark since March.

Drivers are savings an average of 60 cents per gallon compared to the 2014 high of $3.70 (April 28), and pump prices have tumbled 10 percent since Labor Day when the national average registered $3.44 per gallon. For every penny that the national average falls (were the lower price sustained over the course of a year) more than one billion dollars per year in additional consumer spending is estimated to be freed up.

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Motorists in 17 states now pay an average price below $3.00 per gallon. The nation’s 10 most expensive markets are composed primarily of states on the West Coast and in the Northeast led by: Hawaii ($4.08), Alaska ($3.80), California ($3.50) and New York ($3.45). On the other end of the spectrum, consumers in Missouri are paying $2.77 per gallon for regular unleaded gasoline, a low unseen in the state since 2010.

Compared to one week ago, the average price at the pump is down in 48 states and Washington, D.C. Motorists in 23 states and Washington, D.C. are saving a dime or more per gallon week-over-week with the largest discounts in Kentucky (-17 cents), Indiana (-16 cents) and Georgia (-14 cents). There are two states where the price has ticked upward over this same period: Ohio (+3 cents) and Michigan (fractions of a penny).

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The average price paid by drivers to refuel their vehicles is down in every state and Washington, D.C. both month-over-month and year-over-year. In comparison to this same date last month, consumers in every state and Washington, D.C. are saving 15 cents per gallon or more at the pump, and of this total there are 24 states where the price has fallen by a quarter or more per gallon. The Western states of Washington and Oregon (both down 40 cents) are registering the largest discounts over this period, followed by Kentucky and Colorado (down 39 cents). Year-over-year, 47 states and Washington D.C. are saving a dime or more per gallon at the pump and 25 states are registering discounts of a quarter or more led by Kentucky (-42 cents), Indiana (-40 cents) and Delaware (-36 cents).

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Geopolitical tensions in Iraq continue to be viewed by market watchers as posing a minimal threat to the region’s oil production. Sentiment for crude oil prices has remained bearish and it is speculated that the Organization of Petroleum Exporting Countries (OPEC) will continue to protect its market share by sustaining current levels of production rather than cutting output to increase the global price of oil. OPEC member countries are responsible for 40 percent of the world’s oil production and are scheduled to convene on November 27 in Vienna to discuss whether to sustain or reduce production. West Texas Intermediate (WTI) closed out last week by settling up a nickel at $82.75 per barrel at the close of formal trading on the NYMEX. WTI was trading slightly lower to open the day today.

Heather HunterAAA suggests motorists mark November 2 for key winter car care checks

ORLANDO, Fla., (October 20, 2014) – Consumers have leveraged the changing of the clocks to remember important but infrequent tasks like replacing smoke alarm batteries. AAA suggests motorists also use this event as a reminder to check their vehicle for winter readiness.

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“The end of daylight savings time means that winter weather is on the way, which can be rough on your car,” says AAA’s director of Automotive Engineering, Greg Brannon. “This is a good time to have vehicle systems checked and perform important maintenance to ensure your car is in peak condition.”

Harsh winter conditions make your vehicle work harder, particularly the charging and starting system, headlights, tires and windshield wipers. AAA recommends that motorists:

  • Clean any corrosion from battery posts and cable connections and wash all surfaces with battery terminal cleaner or a solution of baking soda and water. Have the battery checked by a professional to ensure it is strong enough to face cold weather.
  • Have any engine drivability problems corrected at a good repair shop. Symptoms like hard starts, rough idling, stalling or diminished power could signal a problem that would be exacerbated by cold weather.
  • Replace worn windshield-wiper blades. If your climate is harsh, purchase one-piece beam-type or rubber-clad “winter” blades to fight snow and ice build-up. Use cold-weather windshield washer solvent and carry an ice-scraper.
  • Inspect all lights and bulbs and replace burned out bulbs. Clean road grime or clouding from all lenses.
  • Have your mechanic check the exhaust system for leaks and look for any holes in the trunk and floorboards.
  • Examine tires for tread depth, uneven wearing and cupping. Check tire pressures once a month when tires are cold, before driving for any distance. In extreme climates, a set of winter snow tires may be a wise investment.

Additional information regarding AAA’s recommendations for proper vehicle maintenance is available on the AAA Newsroom and AAA’s YouTube channel. AAA’s network of more than 7,000 Approved Auto Repair providers is listed on AAA.com.  AAA members can receive a free maintenance inspection anytime they have work performed at any of these locations.

AAA continually conducts proprietary research to better understand consumer implications of automotive technology, design and functionality.

As North America’s largest motoring and leisure travel organization, AAA provides more than 54 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. AAA clubs can be visited on the Internet at AAA.com.

Heather Hunter

 

 

 

 

 

  • Service intervals for oil changes, brake, transmission and power steering fluids and coolant have increased with advances in technology.
  • Monthly safety checks are critical for detecting issues that could lead to a hazardous situation or major repair.

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ORLANDO, Fla., (October 14, 2014) – New fluid technologies and engine designs have combined to reduce the burden of properly maintaining today’s vehicles. Fewer trips to the repair facility, however, may put motorists at risk of missing clues that could head off safety issues or expensive repairs.

“Every vehicle has a unique maintenance schedule, but many automakers are extending service intervals for vehicle fluids,” says John Nielsen, AAA’s managing director of Automotive Engineering and Repair. “Less maintenance improves the cost of vehicle ownership, but fewer visits to the repair facility means the technician will have fewer opportunities to check your vehicle for signs of wear. It’s important for motorists to conduct monthly safety inspections to identify issues before they escalate.”

Examples of new fluid service intervals include:

  • Oil: Cars today are designed to travel at least 5,000 miles between oil changes, and many newer models can be driven up to 7,500 miles or more before an oil change is necessary. Some vehicles that use full-synthetic engine oils have service intervals approaching 15,000 miles.  Be sure to check your oil level, either under the hood or through the vehicle’s onboard computer system.
  • Coolant: Requirements for flushing the coolant can vary from every two years to more than 100,000 miles, depending on the coolant type used. However, be sure coolant levels are correct as leaks in the system could cause major issues.
  • Brake fluid:  Most vehicle manufacturers recommend that brake fluid be replaced periodically to flush moisture and contaminants from the system. Check your vehicle owner’s manual for specific recommendations. If not specified, AAA recommends flushing the brake system and replacing with new fluid every two years.
  • Transmission fluid: Modern automatic transmissions are increasingly being filled with “lifetime” fluids that do not need to be changed until the vehicle has traveled 100,000 miles or more. The owner’s manual or maintenance booklet is the definitive source for specific transmission fluid requirements.

A monthly, 10-minute vehicle inspection can highlight issues that need attention. Motorists should check the level of the engine oil, brake fluid, engine coolant, washer fluid and power steering fluid.  In addition, a check of the tire pressure and tread depth will help ensure safety on the road.

Additional information regarding AAA’s recommendations for proper vehicle maintenance is available on the AAA Newsroom and AAA’s YouTube channel. AAA’s network of more than 7,000 Approved Auto Repair providers is listed on AAA.com. AAA members can receive a free maintenance inspection anytime they have work performed at any of these locations.

AAA continually conducts proprietary research to better understand consumer implications of automotive technology, design and functionality.

As North America’s largest motoring and leisure travel organization, AAA provides more than 54 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. AAA clubs can be visited on the Internet at AAA.com.

Gas Prices Fall Nine Cents in One Week

October 13th, 2014 by admin

Michael Green Contact Tile(WASHINGTON, October 13, 2014) The national average price for regular unleaded gasoline has fallen for 18 straight days, reaching today’s price of $3.20 per gallon. This price represents a new 2014 low and is the lowest average for the Columbus Day holiday since 2010 when gas averaged $2.81 per gallon. Today’s average price is nine cents less than one week ago, 20 cents less than one month ago and 15 cents less than one year ago.

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Drivers in six states are paying an average price below three dollars per gallon to refuel their vehicles with eight additional states posting prices within a nickel of this mark. Motorists in Missouri saw the average price fall below the $3.00 threshold this past Tuesday, and for the second week in a row are paying the nation’s lowest average price per gallon ($2.90).  Although the average price in Hawaii has fallen by four cents over the past seven days, it continues to lead the market with an average retail price above $4.00 per gallon ($4.13). Californians still pay the highest average ($3.60) in the continental U.S. followed by New Yorkers and Oregonians who are both paying $3.52 per gallon.

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The average price is down in every state and Washington, D.C. in both week-over-week and month-over-month comparisons. Week-over-week the retail price has dropped by a dime or more in 13 states with drivers in the Midwestern states of Minnesota (-16 cents), Michigan (-15 cents) and Kentucky (-14 cents) saving the most per gallon. Motorists in 46 states and Washington, D.C. are saving a nickel or more over this same period.  Even larger drops in the price at the pump are reflected over the past month. Michigan (-40 cents), Delaware (-35 cents), Washington (-33 cents) and Oregon (-32 cents) are registering the largest discounts in price over this period, followed by 10 other states where the average price is down by a quarter or more. State averages have fallen by a dime or more in every state but Florida, where prices have fallen only nine cents.

Year-over-year the average price for retail gas is lower in every state but Alaska (where prices are up less than a penny), and consumers in 48 states and Washington, D.C. are saving a nickel or more per gallon. The price has dropped by a dime or more in 38 states with consumers in Michigan (-30 cents), Minnesota (-30), Ohio (-27 cents) and Delaware (-25) saving a quarter or more per gallon to refuel their vehicles.

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Low demand combined with abundant supply has kept downward pressure on global oil prices. The impact of falling prices is currently front of mind for many in the market, and attention is now focused on whether the Organization of Petroleum Exporting Countries (OPEC) will alter production in order to influence prices higher. OPEC members are scheduled to meet at the end of November and will reportedly not hold an emergency meeting before then based on current prices, which has supported the bearish sentiment for crude oil. Additionally, while violence continues in Iraq, market watchers still assess the threat to oil production to be relatively limited. West Texas Intermediate (WTI) crude oil settled eight cents lower at $85.74 per barrel at the close of formal trading on the NYMEX. This is fifth consecutive settlement below $90 per barrel and the lowest price since December 2012.

Nancy WhiteAAA Urges Manufacturers to Focus on Accuracy and Usability to Reduce Cognitive Distraction

WASHINGTON, D.C. (Oct. 7, 2014) – With three out of four drivers believing that hands-free technology is safe to use, Americans may be surprised to learn that these popular new vehicle features may actually increase mental distraction, according to new research by the AAA Foundation for Traffic Safety. This research can serve as guidance to manufacturers who increasingly market hands-free systems as safety features. The good news for consumers is that it is possible to design hands-free technologies that are less cognitively distracting, according to the research.

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The results, which build on the first phase of the Foundation’s research conducted last year, suggest that developers can improve the safety of their products by making them less complicated, more accurate and generally easier to use – a point AAA hopes to use in working with manufacturers to make hands-free technologies as safe as possible for consumers. While manufacturers continue their efforts to develop and refine systems that reduce distractions, AAA encourages drivers to minimize cognitive distraction by limiting the use of most voice-based technologies.

“We already know that drivers can miss stop signs, pedestrians and other cars while using voice technologies because their minds are not fully focused on the road ahead,” said Bob Darbelnet, chief executive officer of AAA. “We now understand that current shortcomings in these products, intended as safety features, may unintentionally cause greater levels of cognitive distraction.”

Using instrumented test vehicles, heart-rate monitors and other equipment designed to measure reaction times, Dr. David Strayer and researchers from the University of Utah evaluated and ranked common voice-activated interactions based on the level of cognitive distraction generated. The team used a five-category rating system, which they created in 2013, similar to that used for hurricanes. The results show:

      • The accuracy of voice recognition software significantly influences the rate of distraction. Systems with low accuracy and reliability generated a high level (category 3) of distraction.
      • Composing text messages and emails using in-vehicle technologies (category 3) was more distracting than using these systems to listen to messages (category 2).
      • The quality of the systems’ voice had no impact on distraction levels – listening to a natural or synthetic voice both rated as a category 2 level of distraction.

The study also separately assessed Apple’s Siri (version iOS 7) using insight obtained from Apple about Siri’s functionality at the time the research was conducted.  Researchers used the same metrics to measure a broader range of tasks including using social media, sending texts and updating calendars. The research uncovered that hands- and eyes-free use of Apple’s Siri generated a relatively high category 4 level of mental distraction.  

To put all of this year’s findings in context, last year’s research revealed that listening to the radio rated as a category 1 distraction; talking on a hand-held or hands-free cell phone resulted in a category 2 distraction; and using an error-free speech-to-text system to listen to and compose emails or texts was a category 3 distraction.

“Technologies used in the car that rely on voice communications may have unintended consequences that adversely affect road safety,” said Peter Kissinger, President and CEO of the AAA Foundation for Traffic Safety. “The level of distraction and the impact on safety can vary tremendously based on the task or the system the driver is using.”

To assess “real-world” impact, Dr. Joel Cooper with Precision Driving Research evaluated the two most common voice-based interactions in which drivers engage – changing radio stations and voice dialing – with the actual voice-activated systems found in six different automakers’ vehicles. On the five point scale, Toyota’s Entune® system garnered the lowest cognitive distraction ranking (at 1.7), which is similar to listening to an audio book. In comparison, the Chevrolet MyLink® resulted in a high level of cognitive distraction (rating of 3.7). Other systems tested included the Hyundai Blue Link (rating 2.2), the Chrysler Uconnect™ (rating 2.7), Ford SYNC with MyFord Touch® (rating 3.0) and the Mercedes COMAND® (rating 3.1).

“It is clear that not all voice systems are created equal, and today’s imperfect systems can lead to driver distraction,” continued Darbelnet. “AAA is confident that it will be possible to make safer systems in the future.”

This phase of the research highlights the variability in demands across all the systems tested.

AAA is calling for developers to address key contributing factors to mental distraction including complexity, accuracy and time on task with the goal of making systems that are no more demanding than listening to the radio or an audiobook. AAA also plans to use the findings to continue a dialogue with policy makers, safety advocates and manufacturers.

To view the full report, “Measuring Cognitive Distraction in the Vehicle II: Assessing In-Vehicle Voice-based Interactive Technologies,” and other materials on distracted driving, visit NewsRoom.AAA.com. This study builds upon groundbreaking research conducted last year, which found that drivers can be dangerously distracted even if their eyes are on the road and their hands are on the wheel. AAA promoted the study in the release:  Think You Know All About Distracted Driving? Think Again, Says AAA.

Established by AAA in 1947, the AAA Foundation for Traffic Safety is a 501(c)(3) not-for-profit, publicly-supported charitable educational and research organization. Dedicated to saving lives and reducing injuries on our roads, the Foundation’s mission is to prevent crashes and save lives through research and education about traffic safety. The Foundation has funded over 200 research projects designed to discover the causes of traffic crashes, prevent them and minimize injuries when they do occur.  Visit www.aaafoundation.org for more information on this and other research.

As North America’s largest motoring and leisure travel organization, AAA provides more than 54 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. AAA clubs can be visited on the Internet at AAA.com.

Gas Prices Near 2014 Low

October 6th, 2014 by admin

Michael Green Contact Tile(WASHINGTON, October 6, 2014) The national average price for regular unleaded gasoline is $3.29 per gallon. This price is the least expensive daily average since February 9, it is just two cents above the low for 2014 ($3.27 on February 7), and it is the lowest price for this calendar day since 2010 ($2.75). Today’s average is a nickel less than one week ago, 15 cents less than one month ago, and six cents less than one year ago. The national average has fallen for each of the past 11 days and could drop as low as $3.10-$3.20 per gallon before the end of the year.

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For the fourth consecutive week, Hawaii ($4.17) remains the only state with an average price above four dollars per gallon. The western United States continues to lead the market posting the highest prices per gallon, with Alaska ($3.89), California ($3.68), Oregon ($3.63), and Washington ($3.62) following Hawaii as the nation’s most expensive markets. As the national average continues to decline, a few states are registering averages approaching the three dollar mark. Drivers in Missouri are paying the lowest average per gallon ($3.01), followed by South Carolina ($3.06) and Mississippi ($3.07).  No state has registered a daily average of less than $3.00 per gallon since January 23 when Missouri was last below this threshold. Given relatively inexpensive crude prices, adequate supplies and cheaper winter-blend fuel, and barring any unexpected market-moving news, drivers in as many as 20 states could enjoy an average price of less than three dollars per gallon before the end of the year.

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After operating at reduced rates for two weeks, ExxonMobil successfully restarted a crude distillation unit over the weekend at its Torrance, California refinery. The unit was initially down due to an issue with the heater, and earlier attempts to restart the unit were delayed due to a leak on process equipment. Refinery issues were also resolved in the Gulf Coast where two refineries returned to service, after the combination of planned and unplanned maintenance to the fluid catalytic cracking (FCC) unit challenged operations. This caused motor gasoline production in the region to slow to its lowest level in over a year, however with supply returning to normal levels motorists near the Gulf Coast should see pump prices point lower again.

Week-over-week, the average price for retail gasoline is down in 48 states and Washington, D.C. Drivers in 19 states are saving a nickel or more per gallon over this same period, with consumers in the Midwest experiencing the largest savings: Michigan (-14 cents), Ohio (-12 cents) and Indiana (-12 cents). On the other side of this trend, the retail average is up in Louisiana (+2 cents) and Florida (fractions of a penny) over the past seven days.

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On the whole, motorists continue to pay less per gallon to refuel their vehicles. Month-over-month the average price has fallen in every state and Washington, D.C., led by the Midwestern states of Indiana (-37 cents), Michigan (-37 cents) and Ohio (-28 cents). Although the magnitude of monthly savings per gallon does vary from state to state, consumers in 41 states are saving a dime or more per gallon at the pump.

Year-over-year the average price is down in 45 states and Washington, D.C. Eighteen states are registering savings of a dime or more per gallon, with motorists in California  (-18 cents), Rhode Island (-17 cents) and Connecticut (-17 cents) experiencing the largest savings at the pump. Of the five states where the price has increased in comparison to this date last year, Georgia (+5 cents) is the only state where the increment is more than fractions of a penny.

Global oil prices have continued to slide as supplies have outpaced demand and markets remain relatively unmoved by geopolitical tensions in the Middle East, Europe and Africa. WTI did settle 60 cents higher at $90.34 per barrel at the close of today’s formal trading on the NYMEX, but remains near the low-price for the year. On Friday, for the first time in 17 months, West Texas Intermediate (WTI) settled below $90 per barrel, breaking a streak of 365 consecutive settlements above this threshold.

AAA Reaction to GM Senate Commerce Hearing

July 17th, 2014 by Kerrie

Heather HunterORLANDO, Fla., (July 17, 2014) – “Today’s Senate Commerce hearing again sheds light on the unacceptable failure of GM executive management to adequately oversee and respond to early warning signals of potential vehicle safety problems. AAA acknowledges GM’s recent steps to transform its corporate culture by implementing new protocols and procedures intended to help prevent similar crises in the future. However, it is clear more must be done to restore public trust in the recall process, repair compromised vehicles and compensate motorists who have been impacted by GM’s failure to protect their safety. This includes a thorough examination of the existing regulatory structure, and putting in place any changes deemed necessary.”

“AAA continues to support efforts by Congress to raise the maximum fine that NHTSA can levy on automakers, along with legislation introduced by Senators Markey and Blumenthal calling for increased transparency in the recall process. These steps should be taken immediately, and Congress should further use its authority to identify additional ways to help ensure that a tragedy such as this is never allowed to occur again.”

SMichael Greentatement by Bob Darbelnet, President and CEO of AAA

(WASHINGTON, July 10, 2014) “Funding for America’s roads and bridges is once again in imminent danger of running out.  Both the House and Senate will act today on short-term plans to prop up the Highway Trust Fund, but it remains unclear whether either proposal will help meet the long-term needs of drivers.

“The only way that a short-term patch of the Highway Trust Fund is acceptable is if it buys Congress a few months to work on finalizing a bipartisan, long-term agreement later this year. Any proposal that allows this issue to be pushed into 2015 would kill the momentum to find a real funding solution. Renewing the debate next year under a new Congress would start us over at square one, making it nearly impossible to secure long-term transportation funding anytime soon.

“It’s time our leaders in Washington stop the hand-wringing and start taking real steps to shore up funding for the roads and bridges that we rely on every day.  Continuing to put off tough decisions about how to fund transportation will risk road safety and compromise our economic vitality.”

Michael Green(WASHINGTON, July 7, 2014) The national average price of gas has fallen for ten straight days, but remains the highest price for this calendar date since 2008.  Yesterday, for the first time since June 11, the national average price for regular unleaded gasoline reflected a month-over-month discount.  Today’s average is $3.65 per gallon. This price is two cents less than one week ago and fractions of a penny less than one month ago, but it remains 18 cents more than this date in 2013.

National Average Gas Price Comparison 2011-2014 July 7 2014

With Independence Day in the books, this year’s holiday registered the highest price since 2008 at $3.66.  This surpassed the price per gallon for the holiday from each of the previous five years: 2013 ($3.48); 2012 ($3.34); 2011 ($3.57); 2010 ($2.74); and 2009 ($2.62), but was still well below the all-time-high for the date of $4.10 in 2008.

The pump price in four states continues register above $4.00 per gallon: Hawaii ($4.33), Alaska ($4.22), California ($4.14) and Washington State ($4.01). While prices in all but three states (Idaho, Wyoming and Utah) are higher than the same date last year, prices in 38 states have dropped over the past week, led by a handful of Midwestern states: Michigan (-10 cents), Ohio (-7 cents), Missouri (-6 cents), Kentucky (-6 cents), Illinois   (-5 cents) and Minnesota (-4 cents).  Prices over the past two weeks have been more evenly split.  Prices in 23 states and Washington, DC have increased – led by Alaska (+7 cents), Utah (+6 cents) and Idaho (+5 cents) – while prices in 27 states have fallen – led by Ohio (-17 cents), Indiana (-12 cents) and Illinois (-12 cents). With high wholesale gasoline prices beginning to subside in many parts of the country, AAA expects pump prices for many US motorists to continue to tick lower over the coming week.

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Violence in Iraq continues to impact global oil prices, but as production in the south of the country remains unaffected, the fear of a disruption to supply has abated. Market watchers are keeping a close eye on the situation, but the risk premium that had pushed oil prices to 2014 highs has subsided in recent trading sessions. These elevated oil prices have meant stubbornly high pump prices for motorists, but as oil prices have eased retail gas prices have finally started to follow suit.

At the close of formal trading on the NYMEX, West Texas Intermediate (WTI) crude oil settled 53 cents lower at $103.53.

Michael Green

 

 

 

 

 

AAA Monthly Gas Price Report
(WASHINGTON, June 30, 2014)

Drivers Stuck Paying Highest Gas Prices in Six Years for Independence Day

  • U.S. drivers will pay the most expensive Independence Day gas prices since 2008, primarily because Iraqi violence has increased global petroleum costs. AAA predicts that 34.8 million Americans will travel 50 miles or more by car during the holiday weekend despite high gas prices.
  • “Most drivers are paying about 15-20 cents more per gallon than expected heading into the busy Independence Day weekend due to market fear about Iraq,” said Avery Ash, AAA spokesman. “It is frustrating that events overseas will make it more expensive to celebrate Fourth of July here at home.”
  • With Independence Day only a few days away, today’s national average price of gas is $3.68 per gallon. This average is considerably more expensive than recent years for the holiday. The national average on July 4 in previous years was: $3.48 (2013); $3.34 (2012); $3.57 (2011); $2.74 (2010); $2.62 (2009); and $4.10 (2008).
  • AAA does not believe that high gas prices will have a significant impact on the number of people traveling, but it could result in some consumers cutting back on dining, shopping or other trip activities. AAA’s full Independence Day forecast can be found here.
  • The monthly average price of gas in June was $3.67 per gallon, which was the most expensive for June since 2011, and it was the highest average for any month since March 2013. Last year gas prices averaged $3.60 per gallon in June.
  • Gas prices often decline in June as refineries complete maintenance and increase gasoline production in anticipation of the summer driving season. During the previous three years, the national average price of gas declined in June by an average of 21 cents per gallon. A month ago, AAA predicted the national average could decline 10-15 cents per gallon in June, but this did not happen due to the unexpected events in Iraq.
  • On June 10, insurgents known as the Islamic State of Iraq and the Levant (ISIL), captured Mosul, which is Iraq’s second largest city. Following this attack, there were concerns in the market that the rebels would take Baghdad or disrupt the southern oil producing regions of the country. These concerns helped drive up global oil prices, which made it more expensive to produce gasoline. Iraq is the second largest oil producer in OPEC, and any decline in exports could impact global oil supplies.

Gas Prices to Remain Expensive During Summer Driving Season

  • Gas prices this July likely will remain expensive due to high crude oil costs and rising summertime demand. AAA expects the national average price of gas in July will range from $3.60-$3.70 per gallon, though prices could climb higher if there are new developments in Iraq or a major hurricane. Last year gas prices averaged $3.58 per gallon nationally in July.
  • “It is shaping up to be a hot and expensive summer for gas prices, and we have not even hit the busiest time of the year yet,” continued Ash. “It is clear that most drivers will pay high prices as they fill up for their summer road trips.”
  • AAA expects the national average price of gas likely will remain relatively flat in the near future and could even decline a few cents as the situation stabilizes in Iraq. Price increases from recent ISIL attacks in Iraq already are reflected in current prices, and it would take major new developments, such as ISIL moving into southern oil producing regions, for prices to rise significantly higher in the days ahead.
  • Gas prices have increased by an average of 16 cents per gallon in July during the previous three years as strong summer demand pushed up prices. July is typically the second busiest month of the year on the roads behind August. Last year Americans drove a total of 263.2 billion miles in July.
  • From Memorial Day through Labor Day in 2013, gas prices nationally averaged $3.58 per gallon. The most expensive summer driving period was in 2008 when prices averaged $3.95 per gallon. Gas prices have averaged $3.67 per gallon so far this summer.

National Average Price of Gas Has Remained Flat This Week

  • Today’s national average price of gas is $3.68 per gallon, which is the same as a week ago. Gas prices nationally have stopped increasing and have remained relatively flat in recent days as the situation stabilizes in Iraq. The conflict in Iraq is unlikely to send gas prices significantly higher unless there are major developments in Baghdad or in the southern oil producing regions.
  • The five states with the highest average prices today include: Hawaii ($4.34), Alaska ($4.22), California ($4.13), Washington ($4.00) and Oregon ($3.98). The five states with the lowest average prices include: South Carolina ($3.39), Alabama ($3.42), Mississippi ($3.45), Tennessee ($3.46) and Arkansas ($3.48).
  • Despite high gas prices in most parts of the country, drivers in four states are paying less than a year ago. These four states include Utah (-8 cents), Idaho (-6 cents), Montana (-1 cent) and Colorado (-0.1 cents). The states with the largest price increases compared to a year ago include Michigan (42 cents), Kentucky (37 cents) and Ohio (32 cents).
  • The most expensive metro area in the continental United States is San Luis Obispo-Atascadero-Paso Robles, Calif. at $4.24 per gallon. The least expensive metro area in the United States is Greenville-Spartanburg-Anderson, S.C. at $3.33 per gallon.

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