AUSTIN (Talk1370.com) -- Gas prices across the Austin metro area continued their downward trend this week, according to the latest edition of AAA Texas' Weekend Gas Watch.
Drivers in the Austin-San Marcos metro area are paying an average of $2.94 this week for a gallon of regular unleaded fuel, down two cents from last week and $1.13 higher than this time last year.
The statewide and nationwide averages also fell two cents this week, to $2.97 and $3.38 respectively. Texas drivers are paying about $1.13 more than a year ago, while the national average is $1.22 higher.
El Paso and Amarillo continue to see the extremes for individual metro areas across the state, with drivers in the Sun City paying the state's highest average at $3.18 a gallon and drivers in Amarillo seeing the lowest average at $2.81 a gallon.
According to the latest data from the Energy Information Administration, demand for gasoline fell week-to-week across the U.S. by nearly six percent. However, gasoline demand remains elevated from this time last year. Weekly regional fuel supply numbers increased slightly, and Gulf Coast refinery utilization remained practically flat from the week prior.
Crude oil prices tumbled following news that the Omicron COVID-19 variant is spreading across the globe. West Texas Intermediate crude oil fell below $70 per barrel for the first time since early September.
"Gasoline prices across much of the state are reversing their upward trend thanks to decreasing demand and falling crude oil prices,” said AAA Texas spokesperson Daniel Armbruster. "But it’s too soon to tell if fears of a global economic slowdown caused by the Omicron variant will push oil prices lower for the long term."
Texas drivers are paying the second-lowest average in the country, bested only by Oklahoma at $2.96 a gallon. The most expensive average in the country is California, where drivers are paying an average of $4.70 a gallon.