Motorists claim pump prices have pushed them to breaking point

 

Across the state, motorists report they are curbing their fuel consumption as prices continue their record run, according to AAA Arizona.
 

      In a recent AAA Arizona online poll, located at www.AAAAZ.com, the auto club recently asked motorists what their price breaking point was for reducing or changing their driving habits.
     While an overwhelming number of respondents admitted to already curbing their fuel consumption, one-fifth of motorists said that they would not change their driving habits no matter the price of gasoline.
     Of the 481 people that have responded so far, here is what the poll revealed:
     * 59 percent said they had already changed their driving habits (this number includes those respondents who claimed they would curb consumption if prices reached $3.25 per gallon).
     * 20 percent said they had no breaking point and would drive no matter the price of fuel.
     * 12 percent said they would change their driving habits if fuel prices reached $4.00 per gallon.
     * 6 percent said they would change their driving habits if fuel prices reached $3.50 per gallon.
     * 2 percent of respondents indicated another response.
     "What we are seeing now is a disconnect between market forces and prices," said Linda Gorman, public affairs manager for AAA Arizona. "As our poll indicates, an overwhelming number of motorists are already curbing their fuel consumption, and the government has reported a drop in gasoline demand over the last several weeks. This further illustrates that the market is being driven by external forces as opposed to demand for gasoline."

Pump prices reaching new highs
     Across the state and country, pump prices are continuing to reach new highs for the 11th straight week. Currently, Arizonans are paying the second lowest for fuel in the country, led only by Wyoming.
     The current statewide average is $3.445 per gallon, an increase of 4.5 cents from last week. Peoria drivers have reclaimed the state's lowest fuel price at $3.378 per gallon, while Flagstaff drivers continue to pay the most to fill their tanks at $3.580 per gallon. Nationwide, the current average for a gallon of regular unleaded gasoline is $3.623 per gallon, an increase of nine cents from last week.
     Crude oil has continued to underpin record high pump prices. Yesterday's interest rate cut by the Federal Reserve would generally fuel surging oil prices, as an interest rate cut typically weakens the dollar against foreign currencies.
     However, because the Fed gave no indication of its future plans and the current benchmark for federal funds rate is sitting at two percent, the greenback gained strength which pushed crude oil to trade in the $110 range.
     "While Arizona motorists are still paying record high prices for fuel, we are experiencing a bit of an anomaly as we are paying the second lowest fuel price in the nation," said Linda Gorman, public affairs manager for AAA Arizona.
     "However, the market continues to be extremely volatile, and with more expensive summer blends and holiday travel right around the corner, it's uncertain whether this trend will continue."
     The cheapest gasoline in the continental United States is in Wyoming, where unleaded regular is $3.432 per gallon. California drivers continue to pay the most for fuel in the country at $3.924 per gallon.
     Motorists can visit www.AAAAZ.com/news for the latest fuel price information and gas saving tips and go to www.AAA.com/fuelfinder to locate the station with the cheapest gas in their neighborhood or along their commute route.
     They can also visit AAA's Fuel Cost Calculator at www.fuelcostcalculator.com, which can help drivers plan out their fuel costs so they can budget their travel expenses in advance.


 

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