WASHINGTON – The price U.S. drivers pay for gasoline is expected to drop another 25 cents in the short term to a national average of $2.25 a gallon, the federal Energy Information Administration said on Wednesday.
"Reductions already seen in spot and futures markets could imply a further decrease in the U.S. average retail price of as much as 25 cents (to around $2.25 per gallon), if those wholesale markets don't turn upward in the interim," the EIA said in its weekly review of the oil market.
The national price for regular unleaded gasoline has already declined 54 cents over the last six weeks since reaching a summer peak of $3.04 a gallon.
Helping to push pump prices lower is the price for crude oil, which accounts for about half the cost of making gasoline. Oil sank to $60.60 a barrel on Wednesday at the New York Mercantile Exchange, the lowest since March 21.
While motor fuel at some service stations around the country is selling for less than $2 a gallon, the EIA said it does not see the national average for gasoline falling below $2 "unless crude oil prices continue to decline sharply."