Gas prices in Florida declined nearly 6 cents last week. The state average of $2.80 per gallon is the lowest daily price since early May. Since peaking at $2.92 on May 25, gas prices have declined 16 consecutive days for 11 cents. Despite the recent discount, motorists are still paying 46 cents per gallon more than this time last year. The most expensive gas price averages in Florida are in West Palm Beach-Boca Raton ($2.92), Miami ($2.91), and Panama City ($2.88) The least expensive gas price averages in Florida are in Punta Gorda ($2.70), Orlando ($2.72), and Tampa St. Petersburg-Clearwater ($2.73) “Gas prices could drop another 5 cents this week, unless the market suddenly shifts course,” said Mark Jenkins, spokesman, AAA – The Auto Club Group. “Prices at the pump are still adjusting to the recent drop in oil and wholesale gasoline, due to the potential of increased crude output from OPEC. However, there is still volatility in the market, and pump prices could move higher if OPEC decides against easing production cuts at a meeting later this month.” Saudi Arabia increased production last month by 100,000 barrels a day, after curtailing output by nearly two years. The Kingdom was part of an agreement with other OPEC and non-OPEC oil producers to reduce output in hopes of raising oil prices. The production cut worked; the oil market tightened and crude prices reached near 4-year highs. However, there are growing concerns that strong demand would soon outpace supplies, and economies will suffer as a result of the higher prices. Because of this, the participants in this agreement are set to reconvene on June 22 to discuss increasing output.  U.S. crude prices settled at $65.74 per barrel on Friday – a 7 cent decline from the week before, and $6.50 less than this year’s high.

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