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Last updated on Wednesday, September 17, 2014
(UNDATED ) - Fall doesn’t being until next week, but the return to fall and winter gasoline has already begun.
One analyst says that means lower gas prices in the near future.
"Since June, when everyone was in an uproar about violence in Iraq, crude oil prices have come down by about 13-to-16 dollars," said Tom Kloza, Chief Oil Analyst for GasBuddy.com. "With gasoline a little easier to produce because of the fall switch, it looks like a typical fall, meaning prices will fall about 20-to-30 cents." Kloza says if that takes place, fall gas prices will be near their lowest level in four years.
The current energy boom in the U.S. contributes some to lower gas prices. "A lot of the components that go into gasoline don't come from oil. They come from natural gas, and we're in a natural gas boom. Some of those cheap components can now be put into gasoline," Kloza said. He also says world events aren't having as much of an effect on oil prices as they would in the past. "The reaction (to those events) is that macroeconomic conditions might be threatened, so that tends to drag oil commodities lower."
While prices may eventually be lower than at any point since the fall of 2010, Kloza says we should not expect them to fall all the way to the levels of four years ago. "In 2010, you would find $2.50 or $2.60 gasoline, and we were coming off a recession and a major sell off in all commodities," Kloza said.
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