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Petroleum analyst predicts 12 cent per litre gas price drop starting July 7

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WATCH: Gas prices in the region have been sitting at around $1.85 a litre since the Canada Day weekend but one gas price analyst says the price of fuel is expected to drop even further on Thursday – Jul 6, 2022

Gas prices in the region have been sitting at around $1.85 per litre since the Canada Day weekend, when the province’s gas tax cut came into play.

According to one gas price analyst the price of fuel is expected to drop even further on Thursday.

Roger McKnight, Chief Petroleum Analyst for En-Progas, said he anticipates a drop of as much as 12 cents.

Read more: Kingston, Ont. gas prices jump over the weekend

He is predicting that drop to kick in at 12:01 a.m. Thursday, which comes as welcome news to some motorists.

“That’s good news. Good news for everyone. I hope it will be even further than that,” said Philippe Calvez as he gassed up his vehicle Wednesday.

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Another pump over, Emily Cantle shared Philippe’s sentiment.

“This time last year it cost about $60 to fill my tank from when the gas light was on and now it’s closer to $130 to fill the exact same gas tank, so I’ll save money wherever I can get it,” she said.

However, for others like cab drivers, whose income is impacted by gas prices, it’s still not enough.

Read more: Kingston, Ont., taxi companies oppose hike in fares

“Yeah, it slows the bleed but when it’s gone up to two bucks, what’s 12 cents?” said Terry Kelly, a taxi driver for a decade.

McKnight says the lowering prices isn’t because supply has increased.

“We have a slowing down of demand which means the economy may be starting to slow they may be hearing footsteps and that is winning out in this situation,” he said.

Also contributing to the decrease, according to McKnight, is speculation in the markets and concerns about a recession.

“Wall Street’s saying, ‘Well that’s going to decrease demand for crude oil gasoline and diesel’, therefore prices come down,” he added.

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The mixed bag of that information may provide some financial relief in the short term, but in the longer term there is serious concern of a possible recession looming on the horizon.

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