By Bill O’Neil
Weeks after Hurricane Harvey’s arrival made a mess of the gasoline market in San Antonio and across much of Texas, prices are starting to rapidly fall back toward where they were ahead of the storm.
“We’re kind of halfway down now towards where prices were before Harvey” Gasbuddy.com’s Patrick DeHaan told KTSA News following a seven-cent per gallon decline in the Alamo City’s average price at the pump over the last week.
“This has been a very slow recovery. Gasoline inventories are still about 10-million barrels lower than where they were before Harvey” DeHaan added, though he also expects prices to continue to decline in the days and weeks ahead.
“The only thing that’s really stopping us right is discussion between OPEC and non-OPEC countries on whether or not they will extend oil production cuts from about a year ago” DeHaan said.
Meanwhile, the slow recovery also continues in what has been a very hard-hit diesel fuel market as well.
“You’ve likely noticed that prices have been going up for weeks. That’s because diesel inventories have been particularly been hard hit after the hurricane” DeHaan said, adding “You have a lot of machinery out there that consumes diesel fuel.”