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Price of gas in Colleyville dips below $4

Gas prices fall below $4... finally!
Gas prices fall below $4... finally! 01:40

COLLEYVILLE, Texas (CBSDFW.COM) - Gas prices started to fall below the $4 mark in North Texas on Wednesday, attracting drivers who would have balked at the cost just a few months ago.

Halls on Glade Road and Highway 121 in Colleyville dropped its price for a gallon of regular unleaded to $3.99, after the price the store pays for fuel fell by $0.35. 

More stations in Texas could be headed for the same price, according to Patrick De Haan, an analyst for GasBuddy, who posted on Twitter that prices should inch down a cent or two a day for the next few weeks.

The price had drivers topping off their tanks and going home to get their other cars. Roger Davis said he thought it was a joke at first, but was glad to pull up and find the price was as advertised. His excitement was tempered a bit though, since it's still more than drivers were paying back in early May.

According to AAA, the average price in the region is down $0.46 from a record high of $4.84 on June 16. Demand for fuel has dropped year-over-year during the price increase, while gasoline stocks have climbed. Oil prices have also dropped down below $100 this week.

Analysts cautioned that any changes in those indicators however, could send the trend back in the other direction.

"I think this is more of a head fake," said Jay Young, the CEO of King Operating, an oil and gas producer in Dallas. "Don't go into the summer or the fall and think, 'Oh, we fixed our problems'."

Young said demand and concern over a recession may be behind the relief right now, but believes energy prices won't see meaningful improvement until there is more domestic oil production. He thinks the '4', and even the numbers 5 and 6 could be on fuel price signs before the end of the year.

"I'm glad prices are going down right now, but I can't see prices continuing to go down, because we're not drilling for oil and gas as much as we were before the pandemic," he said.

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