Motorists see ‘reprieve’ in rising gas prices

JONESBORO, Ark. (KAIT) - Concerns over recent bank failures led to a slight reprieve in gasoline prices, according to one industry analyst.

According to GasBuddy.com, the average price of a gallon of regular unleaded in Arkansas fell 3.4 cents to $3.02. That’s a decrease of 1.2 cents in the last month and 78 cents a gallon less than a year ago.

The national average fell 4.2 cents a gallon in the last week to $3.40.

“The broad concern over recent failures of the U.S. and global banking system has put enough downward pressure on oil prices that we saw a reprieve in rising gasoline prices in the national average last week,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “But, it may be temporary in nature and is unlikely to be a long-lasting trend.”

He warned that if the banking sector outlook improves, gasoline prices could race higher.

“While continued or additional distress could raise the possibility of a broader economic slowdown, keeping gasoline prices in check,” De Haan said. “Overall, there are a lot of possibilities.”