Gas prices to drop faster after Labor Day; $2 gallon by Christmas

2015’s second half represents a strong commitment that motorists will spend even less on gasoline this year than they did in 2014.

“Look for the big declines to come in the fall and by Christmas we could be talking about stations selling under $2.00”, said Patrick DeHaan, a petroleum analyst for the website.

Estimates have gas dropping from a low of $2.54 in August to $1.98 in December, which of course means more money in your wallet for holiday shopping. “This year, if we see just half of that decline it will bring us to below $2 per gallon”. That’s a dollar lower than the average price past year.

GasBuddy.com attributes the coming plunge to “regional, national and global supply & demand fundamentals that continue to place more downward pressure on crude oil prices than upward pressure” and expect the trend to continue “well into 2016”.

Green Bay area gasoline prices have fallen nearly 5 cents in less than a week while an online gas price tracking company is projecting much of the country will see prices drop below $2 per gallon by December.

Detroit’s average gas prices have dropped 8.9 cents in the past week to $2.73, according to the real-time gas prices Web site’s weekly analysis, released Monday.

One is that fewer people are taking vacation road trips so demand for gas falls.

Statewide, the average was about $3.53, and down a like amount over the course of the week.

In Michigan, the average gas price is now $2.52, AAA’s Daily Fuel Gauge Report reported.