Gasoline Decline Blunting Romney Weapon: Energy Markets [View all]
The longest losing streak for gasoline futures since trading began on the New York Mercantile Exchange in 1986 means that prices at the pump will continue dropping through the Nov. 6 presidential election, AAA says.
The 21 percent decline this month on the Nymex has translated into 14 straight days of declines for regular gasoline, according to AAA, the national largest motoring organization. For consumers, prices dropped 5.7 percent since Oct. 7 to an average $3.599 a gallon yesterday. They may fall to between $3.40 and $3.50 by Election Day, Michael Green, a Washington-based spokesman for AAA, said yesterday in an e-mail.
Prices fell as refineries returned from maintenance and demand slipped, boosting inventories to a seven-week high, according to the U.S. Energy Department. The decline blunts one weapon of Republican presidential candidate Mitt Romney, who has blamed the Obama administration for almost doubling fuel prices since 2009.
“Refinery problems have ended, crude is down dramatically,” Phil Flynn, senior market analyst at Price Futures Group in Chicago, said yesterday by phone. “If you’re voting your wallet, the break in gasoline prices may reduce anger at the incumbent.”