INDIANAPOLIS — Many motorists are finally getting some relief at the pump. On Monday, GasBuddy reported that the nation’s average gas price dropped for the first time in months.
GasBuddy reports that the average gas price fell 4.2 cents to $4.97 per gallon. The price drop comes as worries over an economic slowdown saw a broad sell-off in the oil market. The selloff happened after the Federal Reserve increased interest rates.
“Finally some relief! For the first time in nine weeks, gasoline prices have fallen, following a broad sell-off in oil markets last week, pushing the national average back under the $5 level with most states seeing relief at the pump,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “I’m hopeful the trend may continue this week, especially as concerns appear to be mounting that we may be on the cusp of an economic slowdown, putting downward pressure on oil.”
While gas prices have dropped, they remain 37.3 cents higher than a month ago and $1.92 per gallon higher than at the same time in 2021. GasBuddy reports diesel prices continue to rise, up 2.6 cents in the last week to $5.80 per gallon.
De Hann expects gas prices could continue to drop over the next few weeks. This would depend on production not taking any hits.
“We could see the national average fall another 15 to 30 cents, if we’re lucky, by the time fireworks are flying, barring any unexpected shutdowns at a time when the market is extremely sensitive to such,” said De Haan.
As of June 20, the average price for gas in the Indianapolis area was $5.128 per gallon.