Why Gas Prices Are Likely Headed for a Drop

Source: (PHOTO: CHAIWATPHOTOS/Getty Images

STATEWIDE–What you pay at the gas pump is supposed to drop in the coming days throughout Indiana.

Part of the reason is that a price cycle, which caused prices to increase last week, has already taken place.

“Stations had raised their prices to $3.75 or as high as $3.79, but now stations should be inching those prices back down,” said Patrick DeHaan, head of petroleum analysis for GasBuddy.

DeHaan says oil prices are also going down since the conflict between Iran and Israel is de-escalating.

“That conflict does need to be something that we watch carefully to see if there could be potential escalation down the road. But for now, it’s having a minimal impact on gas prices,” said DeHaan.

Oil refineries in Indiana and the rest of the country are either done with routine maintenance or should be wrapping up on that soon, so barring any unforeseen issues, DeHaan doesn’t believe refineries should have any problems.

“If you don’t need gas, I’d wait. Prices should continue to fall through this week and possibly into the weekend with the price of wholesale gasoline now falling,” said DeHaan.

As for areas in northern and northwest Indiana, stations are paying more than the rest of the state.

“It is about 25 to 30 cents more expensive. That’s because those counties are required to use reformulated gasoline, which is different than the rest of the state. The rest of the state is using plain old conventional summer gasoline,” said DeHaan.

As of Monday morning, GasBuddy says the statewide average is $3.67. The cheapest gas in the state is in Middlebury at $3.18. The most expensive is in LaPorte at $4.23.

You can hear the full interview with DeHaan below.