Fuel prices at the pump fell again overnight, a nationwide survey of gas station credit card swipes showed Friday.

Regular: Regular unleaded retreated more than a cent to $4.077, down from $4.090 a gallon the previous day, according to a daily survey from motorist advocacy group AAA.

In the past year, gas prices have risen 35%. Record high fuel prices above $4 a gallon have been altering consumer behavior, causing Americans to travel less and save money in other areas so they can fill their gas tanks.

Ethanol: The price of E85 ethanol, which is made from corn and other crops, rose slightly to $3.307 a gallon on average. While ethanol is derived from renewable sources, it is also less efficient than gasoline. As a result, E85 costs about $4.35 per gallon to get the same mileage as gas, according to AAA.

Diesel: The average price of diesel fuel, which is used to power most trucks and commercial vehicles, fell to $4.828 from $4.833 a gallon, according to AAA.

Diesel remains 64% higher than last year when diesel was cheaper than gas.

State prices: The AAA survey monitors credit card swipes at 85,000 fuel stations around the country.

Gas prices in Alaska, the state with the highest prices, rose again to $4.674 a gallon from an average of $4.671 a day before. Hawaii, the state in second place, saw prices fall to $4.479. California prices fell more than a cent to $4.454 on average.

Drivers in South Carolina paid the least for gas at $3.882 a gallon. Hawaii had the highest diesel prices at $5.391 a gallon, while diesel was cheapest in Oklahoma at $4.643. 

We can only hope that oil prices will continue to fall as they have been doing as of late. Remember, it generally takes two weeks to see the effects of the falling oil prices take affect at the gas pump, but it seems that the phenomenon is happening earlier than expetced. So as long as no one mentions supply problems or geo-political problems around the globe, it is "possible" that oil could continue to fall. I am looking at the $120 a barrel as a benchmark for oil really bringing down the gas prices at the pump, "IF" we can get oil to go at or below that benchmark.  

Well with the announcement made by Bush calling on Congress to lift the ban on offshore drilling and then saying it's time to tap into the reserves in Texas and Louisiana we should start to see a relief here, also the SEC stepped in and put a ban on speculators who buy the oil for profit and have no intentions of using the oil except to get rich off of it.

I'm just pissed they didnt do this months ago when they saw it coming, but I guess they all stuffed the banks so full they had no place left to stash the cash.

JAMES, I'M WITH YOU ON THIS ONE.  I THINK YOU ARE RIGHT ON.

Talk about misplaced credit, JamesLT.. Consumer bahavior gets the real credit. We've changed or adapted our behavior in the past few months resulting in an additional 3 million gallons of energy saved. its just not the poor anymore, choosing between health Care and eating, its the middle class deciding between a full tank or a full stomach.

To give King George the credit for saying  something that if implemented tomorrow, wouldn't result in any additional energy for about ten years, which by then would only amount to a drop in the barrel, is laughable. You just don't get it! We will never get out of this crises as long as people like you are around, thinking that we can drill our way out. This is utter fantasy.

Even Big Oil man, T. Boone Pickens in his own words has said quote: "We can't drill our way out"...!!!!!!!!!  If you wish to give credit to anyone it should go to Democratic Senate Majority leader Harry Reid and his goal of reigning in the speculaters. Now that is, and would have a more immediate impact, and probably why we had quite a bit of covering this past week in futures.... DUH.

Carpe Diem.!!

JamesLT:

Well with the announcement made by Bush calling on Congress to lift the ban on offshore drilling and then saying it's time to tap into the reserves in Texas and Louisiana we should start to see a relief here, also the SEC stepped in and put a ban on speculators who buy the oil for profit and have no intentions of using the oil except to get rich off of it.

 

I'm just pissed they didnt do this months ago when they saw it coming, but I guess they all stuffed the banks so full they had no place left to stash the cash.

Seti03, you are right.  Consumer consumption was probably the biggest single factor in the reduction of gas prices.  And so oil finally stayed down for a few days...