JACKSONVILLE, Fla. – Britain's vote to leave the European Union could impact Americans in a variety of ways; one of them could be lower gas prices.
The price for crude oil, which is globally traded on the stock market, declined by nearly $2.50 the day after the "Brexit" vote. Prices are already dropping. Compared to last week, average prices are down 3 cents nationwide and in Florida and 6 cents in Georgia.
Since two-thirds of the price of gasoline is influenced by oil prices, this reduces the likelihood of gas prices rising in the near future. AAA says gas prices were already falling before the 'Brexit' vote, but reductions in the price of oil should allow that trend to continue.
Increased gasoline demand is currently being offset by healthy refinery production, and gas prices are expected to remain at their lowest point for this time of year since 2005.
The average price for a gallon of gasoline is $2.31 nationwide, $2.27 in Florida and $2.18 in Georgia. Motorists are saving nearly 50 cents on a gallon of gas compared to last year, and $1.40 compared to two years ago.
Average gas prices have declined for 19 consecutive days in Florida and Georgia for a total of 8 cents and 10 cents respectively.
After declining a week ago, crude oil prices began to recover during the week until the Brexit vote sent them back down.
AAA projects nearly 43 million Americans will travel this Independence Day weekend.
This represents the highest Fourth of July travel volume on record and a half million more travelers than last year. The holiday travel period is defined as Thursday, June 30 to Monday, July 4. AAA says they expects more travelers because of lower gas prices. AAA also says airports will be just as crowded as the roads.