Gas prices plunge below $3 a gallon in some parts of northern New Jersey. It’s priced $2.97 at the Costco in Clifton and at Delta on Broadway in Passaic.
Such a kind of price-drop was seen in the end of June’12, which was unreasonable, oil analyst, Tom Kloza said.
Kloza cited that the market again soared up to the threshold of $4 last spring and another time fell apart.
At present, New York and Connecticut have the highest gas prices, but it will slowly go down until New Year.
On 12th December’12, the crude oil was trading below $50 a barrel in Canada.
In North America prices for natural gas at wholesale are about one-fourth of what they are priced in other continents. Not only this, the shale oil boom and the tar sands boom out in western Canada are forcing a lot of crude out and giving a stiff competition to Mid-Eastern crude in somehow, he said.
You can expect better gas prices next year, but the days of $1.39 a gallon are far away.