US retail gasoline prices
The EIA (U.S. Energy Information Administration) reported that US retail gasoline prices fell 0.1% week-over-week and settled at $2.22 per gallon for the week ending September 26, 2016. US retail gasoline prices fell for the 11th time in the last 13 weeks.
Highs and lows
US retail gasoline prices hit a 2016 high of $2.40 per gallon during the week ending June 13, 2016. On the other hand, US retail gasoline prices hit 12-year lows of $1.75 per gallon for the week ending February 8, 2016.
For the week ending September 26, 2016, US retail gasoline prices were 4.1% less than in the same period in 2015. Strong gasoline production in 2014 and 2015 led to lower gasoline prices.
US retail gasoline price forecasts
The EIA estimates that US retail gasoline prices, including taxes, will average $2.08 per gallon in 2016 and $2.26 per gallon in 2017, respectively. US retail gasoline prices averaged $2.43 per gallon in 2015. Read What’s the EIA’s Gasoline Price Forecast for 2016 and 2017? for more on gasoline price forecasts.
The rollercoaster ride in crude oil and gasoline prices also impacts funds such as the United States Gasoline Fund (UGA), the Energy Select Sector SPDR (XLE), the Fidelity MSCI Energy (FENY), the ProShares Ultra Oil & Gas (DIG), the United States Brent Oil (BNO), and the United States 12 Month Oil ETF (USL).
In the next part of this series, we’ll take a look at gasoline inventories.