US gasoline falls below $4 per gallon for the first time since July

Gasoline prices fell below $4

On Tuesday, the average price of regular gasoline in the United States fell below $4 per gallon for the first time since July, reaching $3.9788 compared with $4.0093 the day before, according to the American Automobile Association (AAA), Anadolu reports. Over the past week, prices dropped by about $0.17, and over the month by almost $0.39; however, a year ago gasoline was noticeably cheaper, at $3.0707 per gallon.

Oil and inflation

The decline in prices at the pump comes against the backdrop of cheaper oil and expectations of easing tensions in the Middle East, as well as the recovery of oil supplies from the Persian Gulf. On Tuesday, benchmark Brent briefly fell below $90 per barrel for the first time since August — statements by US President Donald Trump, according to the outlet, fueled hopes for an end to the conflict with Iran. The trend at the pump reflects a slowdown in energy price growth: according to the Bureau of Labor Statistics, in October they rose by 0.7% after 5.2% in September. The gasoline index, seasonally adjusted, increased by 1% compared with 9.1% in September, while without seasonal adjustment gasoline fell by 0.7% over the month. Overall consumer inflation slowed to 0.4% for the month from 0.6% in September; prices excluding food and energy have been rising by 0.3% for the third month in a row.