Lockport area gas has risen four cents, according to AAA East Central’s weekly Fuel Gauge report.
The average price of self-serve regular unleaded gasoline, based on reports from 22 stations in the Lockport area, is 2.734, same from $2.692 last week and $3.824 this time last year. The national average is $2.659.
On the National Front
The national average price of gas has increased for 26 days to $2.66 per gallon, which is the highest average of the year. Relatively low crude costs continue to translate to significant savings at the pump for consumers. Today’s national average is about a dollar less than a year ago and is at the cheapest level for this date since 2009.
AAA predicts that automotive travel this Memorial Day holiday will be up 5.3 percent (33 million travelers) compared to last year’s holiday weekend, which would be the highest volume in ten years. Gas prices may not change all that much by the holiday weekend, which would result in the cheapest Memorial Day gas prices in at least five years.
The price of crude has moved higher since the middle of March due to slowing U.S. production, a weakening U.S. dollar and speculation of demand growth from China. Despite the price increase, many market watchers believe that the recent rally may be nearing an end due to oversupply continuing to characterize the global market, effectively putting a ceiling on how high the price can go. The global oil cartel OPEC appears to be maintaining its strategy of high production levels and is scheduled to convene in June to reassess supply quotas, but in the meantime all eyes remain on U.S. production levels based on its new position as swing producer.
The domestic benchmark West Texas Intermediate posted a weekly gain for the seventh consecutive week but remains significantly below the 2014 high of $107.95 per barrel. At the close of formal trading on the NYMEX, WTI settled 45 cents higher at $59.39 per barrel.
AAA East Central is a not-for-profit association with 83 local offices in Kentucky, New York, Ohio, Pennsylvania and West Virginia serving 2.7 million members.