Gas prices have dropped about 5% in the last month to $2.60 a gallon according to AAA. And they're expected to fall even more this fall, as they begin to more closely track the price of oil, which plunged 18% in the previous month.
Gasoline has been slow to follow oil prices lower due to outages at several major refineries. Problems at the BP (BP) refinery in Whiting, Ind., caused a price spike in much of the Great Lakes region in recent weeks. And a fire at a Delaware refinery on Friday could bump up East Coast gas prices.
Also keeping prices higher is the fact that gas stations are required to sell a more expensive summer blend of gas until Sept. 15, when environmental regulations allow the winter blend to roll out.
But all of this is about to change, says Tom Kloza, chief oil analyst for the Oil Price Information Service, which tracks pump prices for AAA. He expects gas to be below $2 by Thanksgiving, if not well before then.