Declining gasoline prices have apparently hit bottom.
They are climbing back up.
AAA New Mexico blames rising crude prices, the weather and tighter supply.
On Aug. 25, the gas price average across New Mexico was at $3.77 for a gallon of regular unleaded fuel, AAA said on its New Mexico Weekend Gas Watch. On Wednesday, the price was $3.766.
And a week ago it was $3.675.
On the Observer’s Gasbuddy: the lowest price was $3.23 at Murphy Express, 4150 Southern Blvd. NE.
Of the major metropolitan areas surveyed in New Mexico, drivers in Farmington are paying the most on average at $4.23 per gallon while drivers in Albuquerque are paying the least at $3.71 per gallon. The national average price for a gallon of regular unleaded is $3.88, which is five cents less compared to this day last week and 73 cents more than the price per gallon at this same time last year.
“For the first time in more than two months, the statewide gas price average increased as the cost of crude oil has been trending upward,” AAA said.
Recent headlines about the Organization of the Petroleum Exporting Countries and its allies (OPEC+) considering cutting output have been a big reason for oil prices to head higher.
Previously, according to AAA, the cost of oil had edged lower on fears of economic slowdowns around the globe. And while demand dropped nationally week-to-week, so did regional gas supplies, likely helping prop pump prices up. Another factor adding to gas prices in some areas could be the severe weather which has been affecting the parts of the Gulf, and floods may be impacting delivery of some fuel products in various regions.
“Supply and demand volatility in the oil and gas markets can quickly change pump prices,” said AAA New Mexico spokesperson Joshua Zuber. “The market is going to continue to be very sensitive to headlines with the ongoing war in Ukraine.”
According to gasprices.aaa.com, New Mexico ranks 21st least expensive in the nation for a gallon of regular unleaded on average.
Prices up to date at press time using market prices posted at 3:41 a.m. Motorists can find current gas prices along their route with the free and revamped AAA App for iPhone, iPad and Android. The app can also be used to map a route and learn traffic conditions along that route, find discounts, locate parking, book a hotel and request and track AAA roadside assistance. Learn more at www.AAA.com/mobile.
Original source can be found here.
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