|
The national average for a gallon of gas barely budged over the past week, drifting lower by three cents to $3.47. Last week’s decision by OPEC+ to maintain current production levels and not make any cuts led to lower oil prices. But Friday’s blockbuster U.S. report of 517,000 jobs added in January, dropping the unemployment rate to a 54-year low of 3.4%, may have the opposite effect. Are recession fears fading, and could a healthier global economy lead to more demand for oil and higher prices? “Keep an eye on the price of oil,” said Morgan Dean, AAA Mid-Atlantic spokesperson, “because oil currently accounts for nearly 60% of what we pay at the pump. And rising or falling oil prices can have a direct impact on drivers’ wallets.”
According to data from the Energy Information Administration (EIA), gas demand rose from 8.14 million to 8.49 million b/d last week. Meanwhile, total domestic gasoline stocks increased by 2.6 million bbl to 234.6 million bbl. Despite rising gas demand, total supply growth has helped limit pump price increases.
Today’s national average of $3.47 is 18 cents more than a month ago and four cents more than a year ago. Virginia’s average of $3.34 today is down 8 cents in a week, up 16 cents in a month, and 8 cents higher than the price on this day one year ago. The average price in Danville is $3.25, and in Pittsylvania County, Halifax County, and Henry County it’s $3.33,
|