Gas Prices Still High – But – A Bit Lower

Gas prices are two cents lower in Western Pennsylvania this week at $4.679 per gallon, according to AAA East Central’s Gas Price Report.  The national average for a gallon of regular gasoline is a penny cheaper this week at $4.28. The drop is fueled by the transition to winter-blend gasoline which is cheaper to produce and costs less for consumers. But high crude oil prices are preventing steep declines at the pump. Currently, the price for a barrel of crude oil is over $100 per barrel amid instability in the Strait of Hormuz. This month is poised to set a record as the most expensive October ever for gas prices following similar records set in August and September of this year.  According to new data from the Energy Information Administration (EIA), gasoline demand increased last week from 8.40 million barrels per day to 8.98 million. Total domestic gasoline supply decreased from 208.3 million barrels to 205.3 million. Gasoline production increased from 9.23 million barrels per day to 9.75 million barrels.