MIAMI (CBS4) – There’s better news for commuters suffering from sticks shock at the pump. After what felt like forever with increases gas prices are expected to take a tumble.
Wholesale oil dropped about 15% this past week. That comes out to about $16 a barrel. While gas prices haven’t started dropping yet gas watchers say the last time oil was this low pump prices were about 45 cents less than they are today.
“If the trend continues, and gas remains at 96, 97 dollars a barrel; we should see it down to the $3.70’s-or-$3.60’s possibly by next week if the oil prices continues this way,” said Juan Rivera of AAA.
Still, don’t count your gas savings just yet.
There are other variables such as the impact of the southern refineries after the recent tornado outbreaks. Plus, there’s the annual summer price increase that hits around Memorial Day.
Still, as oil companies continue to report some of the biggest profits in U.S. corporate history, and enjoy huge subsidies from the federal government; customers want to know why when oil prices fall, it takes so long to get the price down at the pump.