Gas Prices Drop Unexpectedly As Summer Driving Season Peaks

Here's some good news for vending and amusement operators. Gas prices may very likely be heading down. The price of U.S. crude has dropped nearly 15% from the year's high set on June 10. Historically, the price at the pump has paralleled the cost of crude, so it will likely slide from the current national average of $2.77 a gallon, which already is down more than 80¢ from the year-ago price.

How far the price is likely to fall is a matter of widespread speculation. Some analysts see low-cost gas states clocking in at under $2 a gallon. While an encore of $43-a-barrel oil that occurred in March is unlikely, industry analysts clearly see a significant decrease timed to the busy driving season.

A number of geopolitical factors seem to be behind the welcomed, and unexpected, reduction in price. The crisis in Greece is anticipated to slow economic activity throughout Europe. China, the second-largest oil consumer, has experienced a troubled stock market that could translate to less demand. And while U.S. production has remained high, so has output by OPEC members. Many also anticipate a negotiated deal with Iran that could put that country's oil on the market again.