SEARCH BLOG: GASOLINE.
It's interesting to follow the "experts" when it comes to gasoline price predictions. One gets the feeling that an expert is only such in forecasting the past.
The government is quite optimistic that gasoline prices will fall. That's because the economies of the world are improving which will lead to greater demand which will lead to falling prices. Perhaps there is a supposition that there will be even greater supply... something that "peak oilers" have denied... to offset the greater demand.
On the other hand...
On the third hand...The current national average for a gallon of regular gasoline is $3.30. Drivers shouldn’t expect prices to get cheaper at any point in 2013.That’s according to the analysts at GasBuddy, who have just released a forecast for gas prices throughout 2013, which include month-by-month projections. The predictions call for an average price of $3.29 throughout January, followed by a gradual run-up to the year’s highest prices come springtime. Prices are expected to retreat in fall and early winter, though the lows reached in December 2012—average of $3.25 per gallon nationwide—aren’t likely to be repeated. [Read more: http://business.time.com/2013/01/09/2013-gas-price-forecast-around-4-per-gallon-by-spring/#ixzz2HaGDEnLy]
Increased domestic oil production and lower demand will push gas prices lower in 2013, AAA said.
The national average price of gasoline should peak at $3.60-$3.80 per gallon barring any significant unanticipated events, which compares to a peak of $3.94 a gallon in 2012.
Wednesday's national average price of gasoline was $3.30 per gallon, which is 7 cents less than last year and 4 cents less than a month ago.
Florida’s price per gallon now averages $3.41 — up 5 cents over last week, AAA Auto Club South said. Gas prices in Jacksonville averaged $3.45 a gallon on Thursday, up 7 cents from a week ago. [source]On the fourth hand...
But oil prices should dictate what happens next with pump prices. The economies in the U.S. and China are showing improvement, while Europe remains in recession.So there you have it... forecasted gasoline prices for 2013 will be either up or down.
"They set it down and raise it back up whenever they want to; right before Christmas it seemed to go down quite a bit and the right back up after Christmas it seems to jump right back up again," said Jackson resident, Tim Caldwell.
Energy experts said the wild card in prices is the Middle East. In the past two years, threats to shipments of oil form the region drove crude prices during the winter, which led to a surge in prices. [source]