Pessimistic economic news across the globe caused the price of a barrel of oil to drop to its lowest settlement so far this year. Oil prices settled Friday on the New York Mercantile Exchange at $96.13 a barrel—$2.36 less than the week prior. The cost of a barrel of oil has not been this low since December.
Manufacturing numbers and economic growth slowed more than forecast for the month of April in countries such as China, India, and across Europe causing global fuel demand to decrease at a time when supply is more than ample. U.S. oil stockpiles are at their highest level in 21 years, according to the Energy Department, and output from OPEC remains at elevated levels.
"As a result of weakened demand, retail gas prices are expected to decrease throughout the week and continue May's downward trend in pump prices," said Jessica Brady, AAA Spokeswoman, The Auto Club Group. "Motorists are paying almost 30 cents less for a gallon of gas nationwide, than they did this time last year."
The national average price of regular unleaded gasoline is $3.72, 6 cents less than last week. Florida’s average of $3.63 and Georgia’s average of $3.53 both dropped 8 cents from last week. And, Tennessee’s average price of $3.48 decreased 10 cents from last week.
Here in Murfreesboro, many discounters are offering regular gas at $3.39 per gallon. Interestingly, the same petro in nearby Warren County was selling at several retailers for $3.35.