The last time I updated the local gas war, it was to report that $2.89 gas arrived sooner than I expected.
It arrived yesterday, as two of the stations down the street dropped their price for regular to $2.89 and for midgrade to $2.99. My wife filled up the new car with midgrade.After that experience, I pointedly did not make any prediction about where gas would go, as the low I expected for the year had been reached. Based on the seasonal pattern, I should have expected prices to go down some more, and they did. Today, the three stations down the street are now selling regular for $2.87. I'm just waiting for the corner station to drop its price from $2.89 to match them.
I'm not the only one reporting on the lower gas prices. WXYZ noticed them, too, in Michigan gas prices continue to fall.
He should come to my corner, where the gas is cheaper, although I don't know if he'd get a bigger candy bar from the change.
Based on GasBuddy, it was time for the local stations to lower their prices, as the Detroit average is currently $2.93. They could actually drop prices another four cents to $2.83 by the end of the week. Also, the national average is currently $2.96. It looks like the AAA declaring the end of $3.00 gasoline was a bit premature. However, I don't expect their testimony to be off by much. As I told K-Dog in comments to that entry:
Gas prices have finally decreased, but that was as much due to decreased demand in Europe and Asia and Saudi Arabia deciding to get out of the way of a falling knife as it was about increased U.S. production. It reminds me of 1998, when prices fell because of similar circumstances, namely a recession in Asia while the U.S. was undergoing expansion. The low prices will probably last about as long, too. Enjoy it while it lasts.In the meantime, have a gloating macro in time for tomorrow's election.
I'll be back at midnight with the endorsement entry I promised at the end of Obama visits Detroit plus election news from campuses on the campaign trail. Stay tuned.