Falling gasoline futures could spell relief at pump
Wholesale gasoline futures are falling — which could spell (a little) relief at the pump for Americans.
The big picture: Movement in retail gas prices tends to follow that of the unfinished wholesale gas, known as "Reformulated Blendstock for Oxygenate Blending," or RBOB.
- RBOB has fallen about 15% since its high on June 9, to $3.69.
- Gas at the pump has pulled back, too — but only by about 3% on average as of last week, according to the Energy Information Administration.
What to watch: Given the recent leg down in RBOB, "I would look for gasoline prices to drop about 30 cents per gallon in the weeks ahead," Neil Dutta, head of economics at Renaissance Macro, wrote in a research note on Friday.