National Average Gasoline Price Moves Down, Then Back Up

"It's been a bit of a roller coaster ride for fuel prices" says the Oregon AAA's Elliott Eki, with Oregon's average gaining 11-cents in a week.

Gas station attendant Roger Havranek on the job in Troutdale, Oregon Photo: AP Photo/Rick Bowmer

(SALEM) - Salem`s average price for a gallon of regular is currently $2.91, with Portland ringing in a penny higher. Oregon`s statewide average of $2.96 is felt the most in the Medford area, where people are paying $3.02 for a gallon of regular gasoline.

On Monday, May 1st, the national average price for a gallon of regular fell by a penny but by the next day, it regained upward momentum, closing at an average $2.92, a tenth of a cent higher than the previous week. In Oregon, prices continued their steady forward march, raising the statewide average by 11-cents per gallon to $2.96, a new all-time high. In eight states—four more than a week ago—and in the District of Columbia, the overall average exceeds $3 per gallon. "When the national average dipped, it appeared consumer prices might be leveling off," said AAA Oregon Public Affairs Director Elliott Eki. "But, it appears expectations for significantly lower prices in the near future are premature." Last week, the price of crude oil backed off by $5 per barrel to about $70 and the wholesale cost of gasoline declined by as much as 15-cents in response to the President's speech on energy policy and the fact that the switch from MTBE to ethanol is almost complete in those areas using reformulated summer gasoline. Then, on Monday, prices rose based on Iran's refusal to abandon its nuclear energy plans and a prediction by an Iranian oil minister that crude oil could reach $100 per barrel.

Crude oil is back to $75 per barrel and west coast wholesale gasoline is near $3 per gallon. As one market-watcher stated, "These actions and reactions illustrate a market that is driven as much by headlines as it is by the sale of fuel to motorists." Motorists are urged to continue to conserve fuel whenever possible through the consolidation of errands, slowing down, avoiding fast starts and stops and other energy-saving steps.

At $2.96, Oregon's average gasoline price shot up to 11th highest in the nation. Hawaii has the highest statewide average price at $3.36. California's is up to $3.26; Nevada's is up to $3.06; Washington's is $3.02, and Idaho's is $2.78. Wyoming has the lowest average price at $2.64. The national average diesel price rose to $2.96 per gallon. In California, diesel averages $3.31 per gallon; in Washington and Nevada, it's up to $3.14; in Idaho, it went up 15-cents to $3.10; and, in Oregon, it rose 9-cents to $3.05.