Gas Prices Continue Declining

Texas motorists continue to enjoy lower gas prices, according to AAA Texas. And we may not yet have seen the lowest prices, as 2011 winds down.

The price of a gallon of regular unleaded gasoline in Houston is three cents less than last week, averaging $3.07. The national average is at $3.23 — also three cents less than last week’s average. Sarah Schimmer with AAA Texas says prices have been on the decline for several weeks.

“It’s the same factors that we’ve seen the last several months that are impacting crude oil prices on the market. Definitely still a lot of global economic uncertainty, specifically in the Euro Zone. And then here at home domestically, just very very low demand for oil and gas, and those two things have remained the primary focus of traders.”

Gas prices in Texas have decreased around 80 cents since reaching at peak of $3.89 last May. But the news could get even better.

“Right, lots of analysts that we have not yet reached the bottom price for the year 2011 and prices may continue to decline into early 2012. From what we’re hearing from market watchers and analysts, we’re not too far away from that bottom, but there’s still a little bit of room to hit that bottom, and then certainly as we get into 2012 and then go into the spring, it’s definitely not uncommon to see those prices inch back up.”

Schimmer says recent government reports saying U.S. consumer confidence is improving and fewer jobless claims are being filed have not yet added upward pressure to oil prices.

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