Despite concerns after the tragedy of September 11th, fuel prices have not gone through the roof. In fact, D-N-R fuel-price analyst David Downing confirms they’ve been slowly but steadily falling.In about a dozen Midwest states, gas prices are getting close to a dollar a gallon. Downing says Iowa’s behind some areas of the country because of transportation delays. It’s been a while since the price teetered on the brink of three digits.Back in January 2000, we were at a buck-21. March, 1999 was the last time prices were one dollar a gallon. The cold spring and a Midwestern refinery fire pushed up prices earlier in the year, but Downing says summer demand for gas was less than anticipated. Worldwide, economies are down and that sent crude oil from 28-dollars-a-barrel to less than 20-dollars. Downing says demand falls off after Labor Day, and that, plus the slower economy, have inventory up, bringing the welcome benefit of lower prices. November 14th OPEC is scheduled to meet, and Downing says they’re expected to call for a production cut.If they do, every dollar crude goes up will mean four cents onto the price of a gallon of gas, but lots of people think some OPEC members will “cheat” on the decision to cut back. Downing says though gas prices may rise a bit around Thanksgiving and Christmas, they should remain near two-year lows through next spring.
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