Memorial Day Gas Prices Lower Than Year Ago
By Phil Gregory, WBGO News
Wall Township. May 24, 2013
Gasoline prices have edged higher recently, but an industry analyst expects they’ll hold steady for a while.
The average price for a gallon of regular gas in New Jersey is now $3.42. That’s three cents higher than a week ago but 16 cents lower than Memorial Day last year.
Tom Kloza with the Oil Price Information Service in Wall Township doesn’t expect much change in the price for next 60 days.
He says behavioral changes are reducing demand.
“There is probably an underclass and a lot of sort of zombie unemployed out there. There’s a lot more people I believe now than perhaps ten years ago that live paycheck to paycheck. There’s also changes from the millennials, the younger kids, they don’t travel as much or take longer trips.”
Kloza also says more digital entertainment options are keeping retirees closer to home.
He cautions that gas prices could start to rise in August depending on what happens with the hurricane season.
“If you see a probability cone in the Gulf of Mexico just figure the price of gasoline is going to go up. If may depend on the category of hurricane, whether it hits Corpus Christi or Houston or somewhere that’s lightly populated, but there will be a lot of worries when August begins and the hurricane season gets underway.”
Kloza believes the lowest gasoline prices will be later in the year.
“You can count on pretty much the lows for the year occurring between let’s say Halloween and Christmas time. I wouldn’t be surprised to see some numbers below three, but then we start to cycle entirely new again in 2014.”