Gas Prices Fall - NBC Bay Area

Gas Prices Fall

A fear of rising prices at the pump as so far proved untrue this summer season.



    Gas Prices Fall
    Gas prices have actually taken a dip in price in recent weeks, but are still hurting Bay Area budgets.

    According to AAA, gas prices in California are in a downward tumble.

    AAA says the average price per gallon is $3.94 and that is 32-cents cheaper than a month ago. Bay Area prices are within a couple pennies of those numbers.

    The price is still 86-cents higher than California’s average price on this date last year.

    And contrary to popular opinion, California doesn't have the highest prices in the nation. We are sixth on the list.

    1. Alaska
    2. Hawaii
    3. Connecticut
    4. Illinois
    5. New York
    6. California

    AAA's Matt Skryja said it is welcome relief for consumers, but added things internationally are still volatile.

    "Gasoline demand is down over the last week after it steadily rose for the four weeks prior. Speculation about where oil demand might go for the second half of 2011 continues to cause controversy worldwide," Skryja said.

    The price of oil climbed above $99 per barrel Tuesday. AP credited the move to a better-than-expected retail sales report, a decline in the dollar and a rally on Wall Street.

    AP noted that oil is priced in U.S. currency and tends to rise as the greenback falls because he makes crude cheaper for investors holding foreign money.