Since peaking at $2.73 on May 27, gas prices have declined 14 consecutive days for a total of five cents. Despite the recent discount, motorists are still paying 59 cents per gallon more than this time last year.
"Gas prices could drop another 5 cents this week, unless the market suddenly shifts course," said Mark Jenkins, spokesman for AAA. "Prices at the pump are still adjusting to the recent drop in oil and wholesale gasoline due to the potential of increased crude output from OPEC. However, there is still volatility in the market, and pump prices could move higher if OPEC decides against easing production cuts at a meeting later this month."
MOST EXPENSIVE GAS
• Jackson ($2.73)
• Nashville ($2.72)
• Memphis ($2.68)
LEAST EXPENSIVE GAS
• Cleveland ($2.60)
• Johnson City ($2.61)
• Chattanooga ($2.62)
WHAT ABOUT OIL?
Saudi Arabia increased production last month by 100,000 barrels a day after curtailing output for nearly two years. The Kingdom was part of an agreement with other OPEC and non-OPEC oil producers to reduce output in hopes of raising oil prices. The production cut worked; the oil market tightened and crude prices reached near four-year highs. However, there are growing concerns that strong demand will soon outpace supplies, and economies will suffer as a result of the higher prices. Because of this, the participants in this agreement are set to reconvene on June 22 to discuss increasing output.
U.S. crude prices settled at $65.74 per barrel on Friday, a 7 cent decline from the week before, and $6.50 less than this year's high.
To view daily gas price averages, visit GasPrices.AAA.com.