Gasoline under $2 a gallon? For a whole year?
That’s the government’s latest forecast.
The U.S. Energy Information Administration said Tuesday in its monthly short-term energy outlook that regular gasoline will average $1.98 a gallon nationwide in 2016.
If the forecast is right, it will be the first time since 2004 that U.S. drivers have paid a full-year average of under $2 a gallon.
The pump savings are a direct result of the 70 per cent collapse in crude oil prices since mid-2014.
The EIA expects benchmark U.S. crude to average $37.59 a barrel this year, down from $48.67 last year. International crude will average $37.52, down from $52.32 a barrel in 2015, according to the agency.