Gas prices to decline this year, analysts predict
A motor fuels price outlook predicts at least $17 billion less is going to be spent for gasoline this year than had been laid out to propel vehicles in 2015.
The forecast came from GasBuddy.com of Gaitherburg, Md., showing a price sag for a fourth year. It should average $2.28 per gallon for this year, according to GasBuddy.com’s 2016 Fuel Price Outlook.
“While there are always some unforeseeable surprises,” said Gregg Laskoski, a petroleum analyst for the website, “we’re confident that when we reach the end of 2016 the roller coaster ride will net savings over fuel purchases of last year.”
He said that should prove particularly true for savvy motorists who take the trouble to shop for the cheapest gasoline prices.
Patrick DeHaan, the gasoline price monitoring website’s head petroleum analyst, cited a broad range of factors that impact crude oil and gasoline prices as he said forecasting them amount to a delicate balance.
“While past history is never a guaranteed indicator of future performance,” he said, “it does offer clues that are instrumental to short-term and long-term forecasts.”
He mentioned the global oil glut, the record level of U.S. crude oil inventory as well as tepid demand from the world’s largest economies.
He said those factors suggest “the overall trend of recent years should continue, and that means favorable outcomes for U.S. consumers.”
The gasoline forecast is for a $1.97 per gallon this month, $2.04 next month, $2.23 in March, $2.42 in April, $2.63 in May and $2.48 in June.
The second half forecast is for $2.43 per gallon in July, $2.46 in August, $2.30 in September, $2.21 in October, $2.13 in November and $2.01 in December.
GasBudy.com’s tracking for recent years shows the national average price of gasoline declined from $3.60 a gallon in 2012 to $3.38 in 2013, $3.34 in 2014 and dropped precipitously last year to $2.40.