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Gas prices drop due to COVID-19

Gas hits 99 cents in Kentucky amid COVID-19 pandemic
Posted at 7:12 AM, Apr 01, 2020
and last updated 2020-04-01 07:23:29-04

LEXINGTON, Ky. (LEX 18) — While there aren’t too many places to go right now, the price of filling up the gas tank is dropping during the coronavirus pandemic.

AAA says the nationwide average gas price is below two dollars per gallon right now. That’s the lowest it’s been in four years. Experts expect prices to continue to drop, possibly to an average of $1.75 per gallon by next month.

Some experts even say average gas prices may drop as low as $1.25 per gallon in the coming months.

In Kentucky, the average gas price in Louisville is around $1.70 per gallon and in Lexington, it’s around $1.60 per gallon. That’s according to Gas Buddy. (https://www.gasbuddy.com/USA/KY)

One of the causes of this drop is the coronavirus pandemic. AAA says demand is low and supply is high across the country due to "stay at home" orders.

"With the White House's extension of stay at home orders until the end of April, that just means demand is going to continue to go down and with cheaper crude oil prices, that means cheaper prices at the pump,” said AAA Spokesperson Jeanette Casselano.

Another cause of cheaper prices is an ongoing oil price war between Russia and Saudi Arabia.