Sam Hall |
11-13-2008 12:09 AM |
Low gas prices for Christmas 2009?
A federal energy agency has slashed its prediction for gasoline prices in 2009.
Just last month, the Energy Information Administration said it expected gas prices next year would be a national average of $3.56 per gallon.
But on Wednesday morning, the agency revised the outlook to $2.37 per gallon for 2009. The current nationwide average price is $2.22.
The Energy Information Administration also cut its estimates for oil prices which it had expected to average $112 per barrel next year. It now estimates the average will be $63.50, or about $7 above recent prices. Oil was trading at $56.86 per barrel Wednesday morning.
The U.S.and global economic downturn led to a decrease in energy demand which has caused a rapid and substantial reduction in crude oil and other energy prices, the federal agency said.
Projections for wholesale natural-gas prices were also ratcheted down. The agency previously estimated they would average $8.17 per 1,000 cubic feet in 2009. Now natural prices are expected to average $6.82 for the year.
Submitted by Steve Everly on November 12, 2008 - 11:43am.
http://economy.kansascity.com/?q=node/227
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