National average gas prices expected to jump ten cents or more by the end of summer
Press Release
Gas pumps. (Submitted Photo)
BOISE – Gas prices across the country and throughout Idaho have been dropping recently, but market conditions are expected to push prices higher in the coming weeks, says AAA.
National average pump prices have been steadily declining since early June; an unusual occurrence marked by strong seasonal demand, but even more abundant supplies of gas and crude oil. Since the July 4 holiday, the Gem State has slowly followed suit. The US average dropped by eleven cents over a six-week span, and Idaho gas prices have dropped about four cents since the first of the month.
January through June also saw record growth in the number of U.S. oil rigs. There are 765 active rigs – 408 more than last year’s count at this time. “U.S. production is growing at a rapid rate,” says Matthew Conde, public affairs director for AAA Idaho. “Overall, there has been a massive glut of crude oil in the global marketplace, but over the next six or seven weeks, industry experts believe inventories will continue to draw down, putting upward pressure on gas prices.”
