In the last year, gas prices have ranged from around $5 per gallon to $3.50 per gallon—a 30% drop.
- Around one year ago, gas prices had reached record highs, with some states experiencing $5 per gallon.
- Gas prices have settled back down to around $3.50, a relief for most Americans in these inflationary times, Axios reports.
- Crude oil prices have fallen in the last year, which has helped the price at the pump fall as well.
Why it’s news
Gas prices may have fallen from their highs last year, but they are still higher than the low prices Americans experienced before the pandemic. Consumer sentiment is at a six-month low, according to the University of Michigan’s preliminary reading of the report.
Declining crude oil prices is one of the main drivers of the less expensive gas. The U.S. benchmark, West Texas Intermediate crude, is now around $70 per barrel—a third lower from just a year ago, Axios reports.
Though consumer sentiment is low, it may not be the price of gas driving down buyers’ perspectives. Troubles in the financial district may be calming down, but many Americans are still worried about its effects. The potential threat of the debt ceiling debate could also have many Americans concerned.