Gas prices have dropped 9 cents in March

Nationally, the average price is just under $3.70 a gallon. Crude oil prices could decline, bringing pump prices down further. Airline stocks have been the winners. Energy stocks have been flat.

By Charley Blaine Mar 11, 2013 3:39PM
Gas station © Purestock/Purestock/Getty ImagesThe price of gasoline is coming down, and people are starting to notice.

The national average price of regular unleaded gasoline fell to $3.696 a gallon on Monday, according to AAA's Daily Fuel Gauge Report. That's down slightly from Sunday and down 9 cents, or 2.4%, from a peak of $3.786 reached on Feb. 27.

Gasoline at the pump is down in part because crude oil has mostly drifted lower this year. Crude oil (-CL) in New York was flat on the day at $91.99 a barrel on Monday afternoon. Brent crude, which has more of an effect on gasoline prices, was down 54 cents to $110.31.

But there are other reasons: Europe's economy is sagging again. The British are apparently headed to a triple-dip recession, and there's even talk in Germany of abandoning the euro.

Both crises are combining to push the dollar higher against the euro and the pound this year. The dollar is up 2.2% against the euro and up 9.4% against the pound this year. And refiners are finishing up annual maintenance and the reformulating of gasoline for the summer driving season.

So how far will gas fall to? Maybe to $3.30 a gallon if the price charts on AAA's website are an indication. But if the U.S. economy survives the current budget battles in Washington -- sequestration now and a battle over the budget directly -- you might see a short-blip higher.

The softening of oil prices has been a contributor to a big rally in airline stocks. United Continental Holdings (UAL), the parent of United Airlines, is up 32% this year. Delta Air Lines (DAL) has gained 37%, and Alaska Airlines (ALK) is up 33%.

The gains are due in part to lower fuel prices but also stronger-than-expect​ed passenger traffic this year.

The gains are also the reason the Dow Jones Transportation Average ($DJT) is up 18.9% this year and appeared poised to close at a new high on Monday. It hit an intraday peak of 6,188 on Wednesday.

Energy stocks were up slightly on Monday. Exxon Mobil (XOM) was up 29 cents to $89.26. Chevron (CVX) was up 4 cents to $118.61.

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205Comments
Upchuck70
Mar 11, 2013 4:56PM
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So in December, Oil is 91 bucks a barrel and gas was 2.99 a gallon.  Today, gas is 91 bucks a barrel and gas is 3.59 a gallon.  Hmmm, that's some funky math there.
Brood550
Mar 11, 2013 4:55PM
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The slow cloaked increase tactic.  Rise prices till people complain drop them a few cents and establish a new regular price above what they were before the increase. 
djLight
Mar 11, 2013 5:05PM
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Which part of Fantasyland are these people living in???  Even at 9 cents (which it's not) that's a whopping $1.80 off of my 70+ dollar fill-up....  whoa hold the presses!!!!  Reduce the number on the left side of the decimal point and then come and talk to me.  Idiots...
Mom of 4 in WA
Mar 11, 2013 4:56PM
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Where, pray tell, is this magical land of falling gas prices? Because the prices at my local pumps are going in the opposite direction.
Goldgrant
Mar 11, 2013 4:40PM
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Wrong, wrong, wrong!!! Here in Indiana gas went from $3.59 to $3.89 TODAY...

Time to trade in your very faulty crystal ball!

I Want to Be a Clone
Mar 11, 2013 4:57PM
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Oohh!!!! Dropped .09!!!!! Holy cow! Now I can invest my immense savings from this HUGE price drop!!!!!
skeets Me (Stay at home)
Mar 11, 2013 4:55PM
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Who ever wrote this hasnt spent much time onthe road
Re-TOG Re-TOG (Re-TOG)
Mar 11, 2013 4:30PM
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Gas prices have dropped?..   Okay...  uh,huh...
drowninginpriceincreases
Mar 11, 2013 4:53PM
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Gas price in the state of Washington have been going steadily upward.  I don't know where they are going down to give you so much enthusiasm.
BigJethro
Mar 11, 2013 4:55PM
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is this from the same news outlet that says the recovery is working also... food stamps, endless unemployment and SSI dosent count to a strong economy !!!
Jerry_OH
Mar 11, 2013 4:54PM
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This is the second time today the news reported "price drops" on gasoline but here in Ohio we went from $3.38 this morning up to $3.79 just about everywhere.
Jase614
Mar 11, 2013 5:00PM
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Big deal, gas has remained high sine the current imposter and thief got into office.  it was 1.84 a gallon when he took office and it has rocketed up from there. Funny how the president is all of the sudden not responsible for continued hi fuel prices like republican presidents. It was news then but somehow the media doesn't see it as a problem or issue of concern now the the dark lord is in charge.
r746nhra
Mar 11, 2013 5:02PM
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Here they went down 1 cent per gallon. WOW I'm saving 27 cent per tank.. lets see that a whole wopping $1.08 per month I save, I should be able to retire in about oh... a billion years.
no obam
Mar 11, 2013 5:03PM
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Haven't gone anywhere but up in Maine!! They should get the facts before writing an article.
3.79 gallon= WTF
wins5
Mar 11, 2013 4:27PM
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Doubt it! crude prices are dropping but gas futures are rising. I can predict better than you. Generally pump gas HERE runs $.68 cent higher than the futures.
topper 1953
Mar 11, 2013 5:03PM
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Gas was down last week,and over night it went up 30 cents.Who ever wrote this article must buy gas once a month.With summer coming,gas will go up and stay up,snd people will still buy it.
NA497
Mar 11, 2013 4:56PM
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What a pro Obama voter livestock article.

 

When they get back to $2 you can say they dropped and your reverse the inflation from money printing.

st0n3r
Mar 11, 2013 5:07PM
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You ****ing morons do understand that NO President (including Obama) can do a damn thing about the price of gas right? Yes, he can "introduce" new policies that may entire the oil companies to lower its pricing, or piss them off and they increase, but he cannot make the laws. The President can only sign off on the ones the House / Senate pass onto him. People really are morons when it comes to this stuff..... Yes, the price of gas sucks. It has for over a decade and it wont change. We need to get off the nipple of oil and find something else. **** lets build a few refineries in our country to refine the oil and make our own gas. Lets create thousands of jobs instead of taking our oil, outsourcing it (the thing America has become best at) to other countries for refining and than ship back to us. The cost of our gas is high because were too ****ing lazy / cheap to spend money at home to keep the price down when they can spend money to ship it elsewhere and bring it back and double the profit. Its all about THEIR money, not ours. They have a product that practically every damn auto owner must have.....
JerryG-bsfree
Mar 11, 2013 4:51PM
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Not going to hold my breath.

Might blow gas out the other end.

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