If you haven’t taken your vacation yet now may be a good time to consider a trip this fall. Patrick DeHaan is a senior petroleum analyst with GasBuddy.com and says prices are expected to tumble when summer comes to a close. He says right now crude oil is $45.98 a barrel and it has been months since we’ve seen prices under $46.
DeHaan says, “This is an average. Some stations will be lower but I think Omaha will get back under $2 a gallon. We could be talking about a $1.90 and maybe even lower.” The price drop should start around Labor Day and continue for several months.
DeHaan says there are several reasons why they are predicting the price drop. He says the situation in Iran possibly adding millions of barrels of crude oil the world market that is showing good inventories. He says China’s economic slowdown is also impacting their petroleum use so there is more on the market.
DeHaan says current predictions could change if there is a shake up in the Middle East or a major hurricane.