Gasoline Futures Hit Four Year Lows Providing Relief at the Pump

Refinery Output and Inventories

US refineries are operating at high utilization rates to maximize distillate production, resulting in a significant byproduct surplus of gasoline. This oversupply is flooding the domestic market, keeping wholesale prices depressed even during the holiday travel period.

Retail Price Outlook

The EIA projects that regular gasoline will average $3.00 per gallon in 2026. This lower energy cost environment is expected to support consumer spending, though refiners may face margin pressure as the gap between crude and product prices narrows.