Palm Beach County’s average for a gallon of regular rose 7 cents in the last week to $2.37 Monday, AAA’s Fuel Gauge Report shows.
The upward trend is expected to continue as the petroleum futures market reacts to oil production cutbacks announced by both OPEC and non-OPEC nations. The cutbacks, aimed at raising oil prices and boosting the energy industry, aren’t expected to start until January.
Florida’s average for a gallon of regular stands at $2.21 Monday, up from $2.18 a week ago.
The lowest priced gas reported locally Monday on GasBuddy.com is $2.07 a gallon at Exxon, 3066 N. Military Trail hear Community Drive in West Palm Beach.
Lowest prices reported as of noon Monday for the following cities are:
Jupiter: $2.28, Marathon, 5490 N. Military Trail and Donald Ross Road
Palm Beach Gardens:$2.29, Sunoco, 9772 State Road 811/Alternate A1A and Lighthouse Drive
Wellington: $2.33, Marathon, 2741 State Road 7 near Pierson Road
Lake Worth: $2.13, J&A, 4703 S. Military Trail and Melaleuca Lane
Boynton Beach: $2.15, BJ’s Wholesale Club, 1540 W. Boynton Beach Blvd.
Delray Beach: $2.21, Valero, 1001 S. Congress Ave. and SW 10th Street
There’s a mix of potential upward and downward forces at work simultaneously on crude oil prices, said Gregg Laskoski, senior petroleum analyst for GasBuddy.
“On the one hand we have the news that OPEC issued over the weekend: that a group of non-OPEC oil producers led by Russia have agreed to collectively cut 2017 production by 600,000 barrels,” Laskoski said.
“But on the other hand, the promises for next year do little to change the robust global supply we have today. OPEC’s November output rose 370,000 barrels per day to 34.19 billion, a record high. Reuters reported that Russian oil production for November also set a new record. Nobody’s saying anyone will cheat on the agreement, but old habits are hard to break.”
Monday, global oil prices were up almost 8 percent to $57 a barrel.
Other countries pledging to reduce production include Mexico, Azerbaijan, Bahrain, Oman and several other small producers, AAA said.
OPEC recently announced its members would cut back production by 1.2 million barrels a day.
The oil market has been oversupplied since 2014, AAA said. That year oil prices plunged below $90 a barrel and haven’t returned since.