Gas Demand Falls To 10-Year Low In July

Harry Lay
by Harry Lay

The American Petroleum Institute has reported that total petroleum deliveries fell by 0.5 percent in July, compared to the same month one year ago. This was the first time deliveries have decreased for any month this year. As well, gasoline demand hit a ten-year low for the month of July.

John Felmy, API chief economist, said, “The numbers, though mixed, confirm continuing weakness in the economy. Consumers aren’t spending, and jobless claims have increased, so it isn’t surprising gasoline demand was down and overall demand slipped a bit”. It was also interesting that U.S refinery production of gas decreased for the first time in 2011, down by 2.3 percent from July 2010. However, on a year-to-date basis, gasoline production remains on par to set a record.

Harry Lay
Harry Lay

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