Motorists traveling for the year-end holidays saw the cheapest Christmas Day gasoline since 2008. The average price for a gallon of regular unleaded was $2.43 in Florida, $2.32 in Georgia, and $2.18 in Tennessee. These prices broke the previous lows set in 2009 of $2.63 in Florida, $2.44 in Georgia, and 2.45 in Tennessee.
“Low gas prices are helping consumers save more than $21 for a tank of gasoline compared to the highs earlier this year ($3.70), and that has a positive effect on holiday shopping and travel,” said Mark Jenkins, spokesman, AAA - The Auto Club Group. “The new year will bring new expectations for even cheaper gasoline. Prices could drop another 3-6 cents by New Year’s Day.”
The national average price of gas declined for the 94th consecutive day Sunday, which is the longest streak on record. The previous record of 86 days was set in 2008 during the height of the Great Recession. The streak of declines at the pump is up to 86 days in Florida, 87 days in Georgia, and 88 days in Tennessee.
The national average price for a gallon of regular unleaded fell every day since Sept. 25, to Sunday’s average of $2.30, which is the lowest average price per gallon since May 2009. Since their respective streaks began, the average price has fallen 92 cents in Florida, $1.03 in Georgia, and 98 cents in Tennessee.
“The world’s oil supply continues to outpace demand keeping downward pressure on oil and gas prices,” said Mark Jenkins, spokesman, AAA - The Auto Club Group. “Speculators believe this trend will continue next year, so cheap gasoline should stick around for a while.”
Crude prices settled at $54.73 at the close of formal trading on Friday, a decline of $1.79 from the week before. The Energy Information Administration forecasts WTI crude oil prices to average $63 per barrel in 2015, a decline of $12 compared to 4Q 2014.
Gas prices are also forecast to be lower in 2015. The national average price for a gallon of regular unleaded will be $2.60, according to the EIA. So far, the national average price for 2014 is $3.35.