x
Breaking News
More () »

Gas Prices are Down and Might Go Even Lower

Experts also warned about the one way gas prices could skyrocket over the coming months.

Gas prices almost always hit their highest levels in the summer, but things are starting to change.

Ricky Torres commutes about 120 miles a day and it costs him around $50 to fill up.  Torres says, "Yeah it's a lot, but I have to come to work."

Torres and millions of Americans are getting some relief. The national average for a gallon of gas has dropped 17 cents in the past month, according to AAA.

The price drop means extra money for landscaper Juan Gallegos. Gallegos says, "Well, it's good news. If it drops a little bit more, it will be better for us."

It will get better, according to AAA. The group predicts another decrease of 20 to 25 cents in the coming months.  The main reason for cheaper gas is because crude oil prices are dropping, and they are expected to go down even more in the fall.

Jeanette Casselano is with AAA. She says, "Crude oil makes up about 60% of the retail price and right now we've seen crude oil prices about $15 to $20  cheaper a barrel than they were last year."  Casselano said gas tends to be cheaper after Labor Day as people drive less and demand drops, but an unexpected event could change everything. 

"One of those main factors is gonna be hurricane season," she says, "the mere threat of a hurricane, especially one that comes to the Gulf Coast where there are dozens of rigs and refineries, can really spike gas prices overnight."

Torres hopes that doesn't happen and gas stays low.  CBS Correspondent Nichelle Medina asked Torres, "What would you do with that extra money you save?" He replied, "I could probably eat out more for lunch."

AAA says you can improve gas mileage by making sure your tires are properly inflated.

Before You Leave, Check This Out