Sluggish Demand Drives Gas Prices Lower

(Undated) — Sluggish demand has led the national average for a gallon of regular unleaded to trend back down. GasBuddy Head of Petroleum Analysis, Patrick De Haan, says that a record rise in gasoline inventories and an “anemic” holiday demand has provided the catalyst for falling prices. He says if demand remains weak, gasoline prices could fall further. In addition, refinery issues in California have also eased, which will soon cause prices to decline in California, Nevada, and Arizona, providing momentum for a possible run at a $2.99 national average. However, he says the better it gets now, the “more bumpy” and sharp the rise could be ahead of the spring, as prices could start their rise of 35-85 cents per gallon around mid-February.”