Oil prices rally as countries consider cutting crude production The effects of COVID-19 continue to take a toll on prices at the pump. Florida gas prices dropped another 7 cents last week, contributing to a massive 50 cent drop in the past 40 days. (AAA image) BREVARD COUNTY, FLORIDA – The effects of COVID-19 continue to take a toll on prices at the pump. Florida gas prices dropped another 7 cents last week, contributing to a massive 50 cent drop in the past 40 days. The state average sits at a 4-year low as it prepares to slip into the $1.80s this week. Although the average price for gasoline in Florida is $1.91 per gallon, the lowest 10 percent of gas prices are $1.68. Nearly 90 percent of Florida gas stations have prices below $2 per gallon. Ten percent of Florida gas stations have prices below $1.75. Demand for gasoline in Florida has reduced by as much as 50 percent, according to the Florida Petroleum and Marketers Association. If the state average eventually slips below $1.74 per gallon, Florida gas prices would be the lowest since January 2009. While it’s still possible we reach that benchmark, last week’s rally in crude oil prices is beginning to raise the floor on how far pump prices could fall. Crude oil prices rose on reports that various countries like Saudi Arabia and Russia are considering cutting oil production to offset low global fuel demand – caused by COVID-19. OPEC and its allies scheduled an emergency meeting to tackle the topic. The meeting was scheduled for Monday, then postponed to Thursday. The delay could cause crude prices to slip early this week. Regardless, crude oil prices rose 37 percent last week. Friday’s daily settlement of $28.34 per barrel is the highest in two […]
