Summer Gas Prices Haven’t Been This Low Since 2021

Auto pen era energy policy obviously paying dividends, no doubt.

 

I paid $2.689 this past Thursday

 

US travel demand is shrinking. Less demand on gas means lower prices:

Global Travel Grows, but U.S. Drags Down Momentum

 

Promises made, promises kept.

W I N N I N G!

 

You seem to have found a ‘low confidence’ article

4th of July travel likely to shatter records: What to expect

Summer travel forecast to shatter records for Fourth of July

Experts Anticipate Record-Breaking July 4th Travel Via Car And Plane – What To Know - Travel Noire

https://qz.com/july-4th-travel-2025-record-aaa

 

Thank you OPEC

OPEC ramps production; prices expected to crash

 

No, I found an article that has looked at data (i.e., things that have already happened), not projections (i.e., things that have not but which might happen). Travel has been down all year. It went down even further in March, April, and May. We have seen this across travel sectors. For example, hotels are way down:

Data shows Q1 decline in US hotel bookings - The Business Travel Magazine

 

or maybe costs are up significantly that consumers are doing what consumers do, make alternate plans…..but still driving. I mean the topic was gas prices right ?

for example ATL airport just raised the parking over 200%. With ticket prices up and now parking at the lot $39 a day, We are now driving down for July 4th cruise out of Miami instead of fly. So yes, flight and hotel bookings were down but…..we are still going….. and driving.

Parking rate increases go into effect at Atlanta airport | FOX 5 Atlanta

 

ha. Posting a prognostication from our previous resident intellect citygator where he predicted a price crash. Only to be proven wrong…..again. Prices dipped as expected and desired but certainly not a crash

Crude Oil - Price - Chart - Historical Data - News

 

not seeing $39/day..looks like economy lot is $20 if you're looking for less expensive parking.

 

Electricity prices are up. Gas prices will be up during the summer.

 

we normally park on the international side park and ride. We learned about the price increase when we returned from a 10 day Alaska cruise in may and our parking was over $400 ( we went to anchorage 2 days before the cruise and stayed in Vancouver 2’days then back end of the cruise ).

 

One big issue with that theory: hotels and road travel for long distances aren't substitutes: they are complements. The fact that people drive doesn't mean that they stop needing hotels. In fact, the long time to drive means that they likely would need more hotels.

Regardless of this, there is a truth to the possibility of trading down. Think of it like this: let's say that you have 100 people in an economy. Previously, all went on vacation, with 50 going on a long trip that includes air travel and costs $2,000 and 50 going on a short trip that costs $1,000 that does not include air travel. That is an economy of $150k.

Now let's say that 5 each stop traveling in a year and that 10 people switch from the long trip to the short trip. You end up with 55 people traveling on the short trip and 35 on the long trip. So, if somebody looks only at the shorter trip, they might say "wow, travel is up 10%." But when looking at the overall industry, it is down by 10% in total booking and by 17% in dollar terms.

Now, as it relates to gas prices, reducing air travel lowers the demand on oil resources the same way as cutting out ground travel would. Both require common inputs.

 

Predicting that Trump will end up pressuring OPEC to cut production like he did in 2020. It's very possible that if OPEC keeps production high the price of crude could drop low enough that it falls below the cost of production for US shale producers, the factor that motivated Trump to pressure OPEC a little over five years ago.
From 2020
Special Report: Trump told Saudi: Cut oil supply or lose U.S. military support - sources

By the way after falling for several months the price of gas at the pump at least in Northern Virginia has started to rise over the last week or so.

 

Although we haven't traveled in a couple of years we usually park at an off-site parking lot with a fixed price. Less expensive than parking at the airport. Adding the caveat that it was almost 10 years ago we also took an Alaskan cruise. We had a parking package at a hotel near the airport (BWI near Baltimore) and an early morning flight. We paid less for a night at the hotel and almost two weeks parking than we would have parking alone on site at the airport.

 

Local here Clay Electric raised prices a little do to repairing damage from the hurricanes last year and money spent to upgrade lines and poles to prevent as much future damage as was cause last year. Not because of fuel cost. My electric cost here in the NW corner of Marion county are not any higher than they were the last few previous years. Ocala and Gainesvilles GRU have always been high.

 

I love how a few here are trying to spin that the lower gas prices are really not a plus bla bla bla. I know in my everyday life with two cars and commute it is a big plus. Not just when I buy gas for my cars and mower but also for the cost of everything these trucks are bringing in to the store across the state. To get a idea how much is shipped by large trucks drive a few miles down the interstate. It has to make a big difference in producing and shipping everything. It also makes a difference in building cost as running the machines is cheaper and shipping the materials is cheaper also.

 

That is what they do. Good news is not allowed in the minds of dems.

 

Fast Park is the way to go at BWI