The United States of America is a country of cars.
Although the price of gasoline will not greatly affect the costs of living of many residents of the country, for many Americans, this indicator is very significant.
According to financial analysts, in July 2022, the cost of gasoline in the United States rose by 62% to a record high of per gallon.
This is a record level reached after several months of skyrocketing fuel prices. A year ago, the average price of a gallon of gasoline in the US was $3.05.
The rise in fuel prices follows a steady rise in oil prices, which plummeted in the early days of the COVID-19 pandemic due to falling demand. However, prices rose again as global economic activity resumed. According to US government data, overall US energy prices rose almost 35% higher in 2022 compared to 2021. This contributed to the overall increase in US consumer prices, which jumped sharply by 8.5% compared to 2021. This is a record increase in the last 42 years.
However, gas prices dropped drastically in September 2022. Currently, the average gasoline price is $3.85 per gallon across the United States.
The average price for different types of gasoline:
- Regular Unleaded (87): $3.69 per gallon
- Mid-Grade Unleaded (89): $3.92 per gallon
- Premium Unleaded (91): $4.54 per gallon
- Diesel: $4.22 per gallon
Traditionally, the highest gas prices in 2022 have been fixed in California, Nevada, Alaska, Oregon, Washington, and Hawaii. In the mentioned states, the minimum gas price is .
22. The lowest gas costs in the United States are observed in Mississippi, Florida, Georgia, Texas, Tennessee, Louisiana, Arkansas, and Alabama. Here, you can purchase gas for an average of $3.04.
What do fuel market analysts say?
According to the U.S. Department of Treasury, retail prices for gasoline in the United States continue to fall.
By the end of 2022, they will have reached about $3 per gallon in most states as demand eases in the fall.
Currently, about two-thirds of the 132,000 gas stations nationwide sell gasoline at $4 per gallon, with about 25% selling it for less than $3.43 per gallon.
According to analysts, in November 2022, the demand for fuel will begin to fall, and the price will probably decrease even more. Wholesale gasoline futures for delivery in November and December fell significantly. This indicates that retail gasoline prices across the US could fall below $3 per gallon in many states by the end of the year. However, some risks cannot be predicted.
For example, the introduction of new sanctions against different countries or a strong hurricane in the USA that may hit the coast of the Gulf of Mexico and destroy oil production towers.
However, analysts predict that in January-February 2023, the price of all types of gasoline in the US will stabilize. The Biden administration has already stated that the government is in full control of the situation in the domestic fuel market.