ORLANDO, Fla. - Florida's average gas price has dropped 35 days in a row and the price of crude oil dipped to its lowest level in a year on Tuesday.
US oil prices dropped 7 percent to $55.69 a barrel, which marks a huge plummet after a four-year high of $76 was reported as recently as early October. AAA said that could lead to another 5- to 15-cent drop in gas prices.
Gas prices are down to $2.55 a gallon statewide and $2.43 in Orlando.
The price drop comes after Saudi Arabia announced on Monday plans to cut crude oil shipments by 500,000 barrels per day and it voiced support behind OPEC production cuts.
"Even though demand seems to be holding up pretty well, there are lots of worries over trade wars, emerging markets and the strong dollar," said Michael Wittner, global head of oil research at Societe Generale. "The negative sentiment is palpable."
President Donald Trump responded on Twitter to Saudi Arabia and OPEC's potential plans.
Hopefully, Saudi Arabia and OPEC will not be cutting oil production. Oil prices should be much lower based on supply! — Donald J. Trump (@realDonaldTrump) November 12, 2018
Sanctions imposed on Iran stirred up concern over the cuts. The Trump administration granted waivers allowing China, India and other nations to keep buying oil from Iran out of fear of upsetting the energy markets.
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