U.S. Gas Prices Continue Falling. Average in Two States Dips Under $2 a Gallon

Posted on January 4, 2015

U.S. gas prices are continuing to fall. The average gas price in two states - Missouri and Oklahoma - has dipped under the $2 a gallon mark for the first time since 2009.

The AAA's Fuel Gauge Report says the U.S. national average is now $2.209 a gallon for regular. That is over 50 cents less than one month ago and $1.11 less than the nationwide average price one year ago. Gas prices have been in a decline since around October 2014.

The AAA says in a report that the global oil market in in a state of "perceived oversupply due to record production from the United States combined with lower than expected global demand." Time says in a video report that demand is down but concurs with the AAA that the key reason for the drop is that the U.S. is producing more of its own fuel. Time says some countries are also weaning themselves off oil and using alternative sources. Take a look: