Report: Gas prices could dip below $2/gal. in some parts of the US

I wouldn’t look too hard, but I think the year 2000 is back since Bloomberg reports that gas could dip as low as under $2.00 a gallon in some parts of the US as gas suppliers switch to “winter” formulas.

As of late, gas prices were at a new low of $2.79 per gallon last week, when compared to this year’s national peak  of $3.69. But now, gas prices could go even lower because of falling demand and recently, a stirrup is happening with OPEC and price wars.

Basically, OPEC isn’t cutting their production so that they can maintain their long-term dependency by other nations as oil suppliers. So they’re betting against the falling prices by hoping to drive them so low, thanks to recent drilling projects in hard locations in the US, that US suppliers will go out of business from nonexistent profit margins, leaving OPEC to be one of the sole oil suppliers in the world.

Source: Bloomberg

Chris Chin

Chris Chin is the Editor-In-Chief of egmCarTech and is a regular contributor to Automobile Magazine.

admin has 4428 posts and counting.See all posts by admin