Local gas prices still dropping, U.S. average expected to keep falling

The average price of a gallon of regular unleaded gasoline fell to $3.786 per gallon in Cape Girardeau County on Monday, down 7 cents from a week ago and down 16 cents from a month ago, according to the American Automobile Association. Conversely, gas is $1.19 more expensive per gallon in the county than it was one year ago.

Gasbuddy.com reports the following Monday prices in the region:

• Cape Girardeau (16 locations): $3.69, $3.74, $3.78, $3.79, $3.89.
• Jackson (10 locations): $3.59, $3.69, $3.70, $3.73, $3.76, $3.84.
• Scott City (3 locations): $3.79, $3.89.
• Perryville (10 locations): $3.65, $3.69, $3.79, $3.99.

Since gas prices are notoriously volatile and because of the lag time before publication, the Southeast Missourian does not identify prices at specific service stations.

AAA reports the least expensive Southeast Missouri counties in which to buy gasoline Monday were Butler (Poplar Bluff) and Madison (Fredericktown) at $3.646 and $3.668, respectively.

State vs. national

National average for regular unleaded Monday was $4.114 per gallon compared to Missouri's statewide average of $3.670.

Analysis

Trilby Lundberg of the Lundberg Survey said Sunday that prices have been falling for a month because of lower crude oil costs. Other analysts suggest higher prices have weakened demand as motorists take fewer excursions with their vehicles or choose shorter trips.

President Joe Biden's March 31 decision to release 1 million barrels of oil per day for the next six months from the Strategic Petroleum Reserve — the largest drawdown from SPR in its nearly 50-year history — may also be contributing to downward pressure on prices.

"Gas prices have continued to move in the right direction, down, saving Americans approximately $100 million every day compared to when prices peaked about a month ago," said Patrick DeHaan, GasBuddy chief of petroleum analysis.

"It remains possible that gas prices may have hit their 2022 peak, barring the typical caveats like the Russia war on Ukraine, the economy, hurricane season and COVID not taking drastic and unexpected turns. Diesel prices are also falling and likely to go back under the $5 per gallon average this week. The situation for now continues to show signs of improving, with the national average falling back into the $3 range as early as later this week," he added.