Buffalo, NY (WBEN) If you've filled up recently, chances are you haven't paid as much as this summer. One expert says this is the usual time gas prices decrease.
GasBuddy's Patrick DeHaan says gas prices are down about eight cents in Buffalo compared to a month ago. "This is fall. Gas prices fall and fall as demand falls. Americans don't drive as much in colder weather. We also have seen refinery maintenance season start wrapping up. Refineries do their maintenance after the summer driving season. With that maintenance now wrapping up, refineries will will be able to process and refine more oil. In addition, we've been on the cheaper version of winter gasoline now for about the last couple of months, so all of that is providing a bit of tailwind to push prices lower," says DeHaan.
But he warns geopolitical factors could keep those price declines in check. "If those tensions do get resolved between the U.S. and Iran, we may see the doors open for much lower prices in the months ahead. But if we see new escalations, as is possible, we could also see gas prices going right back up," notes DeHaan.
He notes it is still a bumpy ride. "For now, we could see prices falling 10 to 25 cents a gallon over the next call it two to three weeks because of the seasonal factors. But whether or not there could be escalations between the U.S. and Iran, that could happen at a moment's notice. So the volatility is still with us, and that hasn't gone away until there is a solid resolution between the U.S. and Iran, and potentially Ukraine and Russia," explains DeHaan.
As for the midterms, DeHaan says voters have sent a message to lawmakers. "They obviously sent a very strong rebuke to Republican candidates, and I think both parties now, Democrats who had campaigned on the economy and Republicans may join together to find common ground in solving the geopolitical tensions that have led voters to such a strong rebuke. And so that is why oil prices had dropped quite a bit in the last several days was because of anticipation of more talks between the U.S. and Iran, but now also because the political pressure is really ramping up in light of how voters voted earlier this week.," says DeHaan.
DeHaan notes gas prices are $1.16 a gallon higher in Buffalo today than a year ago,
Seasonal factors are in play, says GasBuddy's DeHaan
Seasonal factors are in play, says GasBuddy's DeHaan
