Consumers complain a lot about the price of groceries, even though inflation at the supermarket has cooled considerably. Unfortunately, food prices have stabilized at prices that surged during three years of inflation. They might not be going up but few of them are coming down.
Gasoline prices are another story. A year ago AAA reported the national average price of regular gasoline was $3.85 a gallon. Today, the price is around $3.38, a savings of 47 cents a gallon.
Patrick DeHaan, who keeps tabs on the outlook for prices for GasBuddy, says he’s seeing signs of prices softening even more. According to DeHaan, here are the states where prices have fallen the most:
Oregon - prices are down by 89 cents a gallon
Washington - prices are down by 86 cents a gallon
Alaska - prices are down by 81 cents a gallon
Arizona - prices are down by 78 cents a gallon
California - prices are down by 69 cents a gallon
With that big price decline California is no longer the most expensive state for gas. That honor has gone to Hawaii, whose statewide average gas prices is six cents more than California’s.
Below $3 a gallon
AAA lists three states that have enjoyed falling prices and have put their statewide average price below $3 a gallon. Those states are:
Mississippi - $2.93 a gallon
Oklahoma - $2.96 a gallon
Texas - $2.99 a gallon
GasBuddy’s data show six states in the below $3 a gallon club, with the additions of South Carolina, Tennessee and Louisiana.
“The clouds of war overseas are less dark at the moment and the Atlantic is quiet now too, which is taking pressure off of oil prices,” said Andrew Gross, a AAA spokesperson. “More retail locations east of the Rockies are selling gas below $3 a gallon.
The relief is welcome, but will it last? Evidence is growing that it might.