AAA: Gas Prices To Decline 5-10 Cents As Nearly 60M Travel For Thanksgiving

By on November 21, 2017 in WNDB News

 

Florida – According to AAA, nearly 60 million Americans are expected to travel for the upcoming Thanksgiving holiday.

During November 22 through November 26, 50.9 million people are expected to travel at least 50 miles for Thanksgiving this year, 1.6 million (3.3%) more people than Thanksgiving last year. In fact, this year is expected to be the busiest Thanksgiving holiday on the roadways since Thanksgiving in 2005.

“Thanksgiving kicks off the start of what will likely become the busiest holiday season in more than a decade,” said Vicky Evans, AAA Assistant Vice President of Travel Sales Development. “A strong economy and labor market are generating rising incomes and higher consumer confidence. These factors should help fuel consumer spending and generate a strong finish for the travel industry this year.”

Statewide, there is expected to be:

  • 2.6 million Floridians traveling 50 miles or more; up 80,230 people (3.2%) since 2016
  • 2.3 million people taking road trips; up 71,786 people (3.2%) since 2016
  • 90,720 Floridians flying; up 8,158 people (4.5%) since 2016
  • 53,860 Floridians traveling by train, bus, and cruise; up 286 people (0.5) since 2016

Nationally, there is expected to be:

  • 45.5 million Americans taking Thanksgiving road trips; up 1.6 million people (3.2%) since 2016
  • 3.95 million (5%) travelers flying at the cheapest airfare since 2013 at an average of $157
  • 1.48 million people traveling by train, bus, and cruise; up 1.1% since 2016
  • The highest gas prices since 2014 and the highest rental car prices ($70/day) in 5 years

“AAA expects drivers will pay the highest Thanksgiving gas prices in three years, thanks to strong demand and higher oil prices,” said AAA spokesman, Mark Jenkins. “Although it will be more expensive to drive to Grandma’s house compared to recent years, the current price at the pump is not high enough to deter Floridians from taking a trip. Most people have already made their travel plans, and will not cancel them for moderate shifts in gas prices.”

AAA also predicts that gas prices will decline another 5 to 10 cents during the Thanksgiving holiday. In Florida, gas is at its highest price in 3 years and 40 cents more expensive during the holiday in 2016 at its current average of $2.50.

“Gas prices should decline 5-10 cents through Thanksgiving weekend,” said Jenkins. “Although gasoline demand will be high this week, it will be cheaper for gas stations to purchase their fuel than a week ago. Since retailers profit more off of concessions in their convenience stores than the sale of gasoline, they will be more likely to lower gas prices as a way to attract passing motorists.”

In the last 4 days, gas prices in Florida have declined 3 cents. The increase in price is due to the fact that oil barrel prices have risen $6 in the last month.

“Oil prices reached 2-year highs last week, causing the sudden jump at the pump,” said Jenkins. “Fortunately, oil prices are beginning to soften, thanks to growth in crude production and inventories; and wholesale gas prices are slipping due to high gasoline production. This should set the table for small discounts at the pump before the holiday arrives.”

So far in 2017, the highest gas averages in Florida were on September 9 at $2.73 and the lowest average was on July 17 at $2.13. The current gas average in Daytona Beach is $2.48. For current gas averages in your area, go to GasPrices.AAA.com

“Some of the lowest prices will be in areas where multiple gas stations are within close proximity of each other, leading to higher competition,” said Jenkins. “Oftentimes gas stations wait until Friday to lower their prices, in hopes that managers are rival stations are not paying attention, or are gone for the weekend. Some of the highest prices are often at gas stations in rural areas, near airports, and at interstate on/off ramps.”

AAA’s predictions for the holiday place two Florida cities in the top ten Thanksgiving destinations of 2017. The list can be found below:

  • Orlando, Florida
  • Anaheim, California
  • New York City, New York
  • Honolulu, Hawaii
  • Las Vegas, Nevada
  • Punta Cana, Dominican Republic
  • Cancun, Mexico
  • San Francisco, California
  • Kahului, Maui, Hawaii
  • Fort Lauderdale, Florida

Orlando (MCO) is also expected to be one of the busiest airports for car rentals this Thanksgiving, according to Hertz.

Copyright Southern Stone Communications 2017.

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