Lehigh Valley gas prices dropping on lower crude costs

Gas prices are dropping again, leaving the Lehigh Valley with slightly lower prices than the state average, but still a bit higher than the national average. 

According to the latest report from AAA East Central, the average price for a gallon of gas dropped almost six cents this week and is now at $3.621 as of Feb. 28 compared to $3.679 on Feb 21. 

 In the Lehigh Valley the average price dropped to $3.455 per gallon on Feb. 28 compared to $3.529 on Feb. 21.        

The national average for a gallon of gas fell 4.5 cents over the last week to $3.357.  

AAA said the main reason is the price of oil, which fell into the mid $70s per barrel, nearly $5 cheaper than earlier this month. 

 Today’s national average is 15.3 cents less than a month ago and 25.3 cents less than a year ago. 

According to new data from the Energy Information Administration (EIA), gas demand increased slightly from 8.27 million barrels per day to 8.91 million barrels per day last week. Meanwhile, total domestic gasoline stocks decreased by 1.8 million barrels to 240.1 million barrels last week. However, decreasing oil prices have contributed to pushing pump prices lower. 

Crude prices have declined over the last few weeks due to the strengthening of the dollar and market concerns about increasing domestic oil inventories, according to AAA.  

EIA reported that total domestic commercial crude inventories increased substantially by 7.6 million barrels to 479 million barrels last week.