Americans to spend $1.6 billion less on gas this Memorial Day weekend | CNN Business

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Cheaper gas prices than a year ago will give Americans some relief this Memorial Day weekend, despite more drivers hitting the road

More than 37 million people are expected to hit the roads this holiday weekend, up 6% from a year ago, according to AAA. Despite rising road travel, the cost of road trips is easing. Drivers across the country will be greeted by gas prices much cheaper than a year ago. The national average for regular gasoline stands at $3.57 a gallon as of Friday, according to AAA. That’s up from wintertime lows — but down by more than $1 from the year-ago average of $4.

Why gas is cheaper It’s important to note that even though gas prices have fallen sharply over the past year, they were lower in 2021 and especially 2020 when Covid-19 shut the economy down. There are a variety of reasons for the gas price decline — and not all of them are positive. The central factor is that oil prices, which are the main driver of retail gas prices, are down. Trading at about $72 a barrel on Friday, US oil is 37% cheaper than a year ago.

 

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