It's hard to believe that a year ago today the national average price of gas was just $2.75 a gallon. Over the course of the summer, Americans have watched fuel prices surge, racing past the $3 range to above $4 per gallon -- and in some regions knocking on the door to $5 per gallon. The outcry from commuters influenced everything from driving habits to politics, and the collapsing SUV market sent automakers racing to revamp their lineups. But despite the recent frenzy over hypermiling and offshore oil drilling, filling up has actually gotten a little less painful recently, and according to a new survey gas prices are down 15 cents in the last two weeks.
The AAA lists today's national average price of regular at $3.68, 30 cents cheaper than just a month ago. According to a Lundberg Survey of 7000 gas stations nationwide, the best part of the country to fill up your Suburban would now be St. Louis, Missouri, at $3.37 a gallon, while residents of Anchorage, Alaska, may want to get some snow tires for their smart fortwo with regular still selling at $4.34. Hawaii comes in right behind Alaska for the second most-expensive fuel in America. And despite the fact that automakers like GM are dumping full-size SUVs and investing heavily in new, fuel-efficient small cars, consumer interest in gas-guzzling haulers seems to be gaining slightly.
The question is, will prices stay on the decline or is the drop just temporary? When prices were at their peak, some struggling commuters resorted to driving farther on empty or filling up south of the border, and even luxury car owners felt the pinch. Yet even as diesel and hybrid vehicles are selling out around the country, often for more than sticker price, suddenly drivers are starting to get some relief. Considering the number of thirsty V-8-powered vehicles currently being sold at fire-sale prices, if the trend continues truck and full-size SUV buyers could come out significantly ahead -- then again if it doesn't, trading in one of those gas guzzlers will be near impossible.
So what do you think: Is it time to pick up a new seven-seat, V-8-powered SUV or full-size pickup or get on a waiting list for the 2009 Honda Fit? When prices were at their peak earlier in the summer, many experts complained that, besides a tight worldwide supply, the main cause of expensive fuel was stock-market speculation. And while the hysteria over oil's cost per barrel is fading a little, given the market's volatility it's possible things could always flare up again down the line. And gasoline prices are still nowhere near what they were just one short year ago.
Source: The Detroit Free Press