Natural gas prices have fallen for seven straight weeks. That’s why this is good news and bad news.


Drivers in the U.S. got some relief when they refueled, with gasoline prices falling for seven straight weeks after hitting record prices in June. But experts say there is both good and bad news behind the drop in natural gas prices.

The average price of a gallon of gasoline fell to $4.14 a gallon on Thursday, down 8 cents from Monday alone, according to the AAA. The drop marks a sharp pullback from an all-time record of $5.02 a gallon set on June 14.

Ellen Wald, a senior fellow at the Atlantic Council, said natural gas prices fell for a number of reasons, including increased gasoline production and lower crude oil costs, which are a major determinant of pump costs.

But Wald said there was another reason for the decline, which could point to a broader economic problem: Americans are driving less to fight inflation.

“We’ve seen some of what we call ‘demand destruction’ — people choosing not to buy gasoline because it’s too expensive,” Wald told CBS News, adding, “There’s a lot to like about our potential entry into a global recession. Concerns could drive prices down.”


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U.S. economy shrinks in second quarter Second consecutive quarter Shrinking GDP – often considered a sign of a recession. But that’s not all that is being considered by the National Bureau of Economic Research, the group that formally calls out whether the U.S. has slipped into a recession. The NBER looks at a number of other economic indicators, including employment that has remained strong this year.

Still, the contraction in gross domestic product has sparked a debate over whether the country has entered or is heading for a recession, with economists increasingly concerned about signs that consumers are cutting back on spending in response to a recession. Hottest inflation in 40 years.

Meanwhile, experts say gasoline prices are likely to continue to fall, at least in the short term. The national average could drop to $3.99 a gallon within days, Gas Buddy analyst Patrick De Haan wrote.

“[I]In about 100 hours, we’ll see the national average drop to $3.999 a gallon, the lowest and first since March 5,” DeHaan wrote on Thursday. “By then, a handful of U.S. refueling The station could even drop to $2.99/gal. “



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