That’s the assessment of Patrick De Haan, head of petroleum analysis at GasBuddy. Speaking to Fox News on Monday, he warned that “we are not out of woods just yet” despite steadily declining prices at the pump.
The national average for gasoline fell to $4.495 a gallon on July 19, according to AAA, marking the first time in months that it has dipped below $4.50. The average was $4.655 a gallon a week ago and $4.983 a month ago. The all-time high of $5.016 a gallon was set on June 14, 2022.
De Haan said “the potential is there” that the national average could fall below $4 a gallon by mid-August, the New York Post reported. However, prices could just as easily push higher if a severe hurricane season disrupts oil supplies.
“We are not out of the woods just yet because prices are falling,” de Haan said. “Things are still very tight globally [and] supplies are still very constrained. If we get one major hurricane in the Gulf of Mexico that shuts down a couple of major refineries, [gas prices] are going to go right back up.”
As previously reported by GOBankingRates, gas prices could also go up if Russia decides to play hardball with its oil supply. Under a worst-case scenario, Russia might retaliate to stricter sanctions from NATO countries by shutting its supply down altogether, which could push the price of oil to triple what it is today.
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