abc
QUICK LINKS:

Lower Gas Prices Could Boost Christmas Sales

Created: 11/27/2013 10:26 AM WDIO.com

WASHINGTON (AP) - The big discounts certainly are a major draw, but holiday sales may also get a boost this year from the lower price of gasoline.

AAA says the average price of gasoline has tumbled 49 cents from its peak this year to $3.29 a gallon, putting it on track for the lowest average since 2010.

And history shows that when gas prices drop, consumers become more likely to splurge on dinners out. Impulse buys at the mall seem like less of a stretch.

Many retail analysts have forecast a ho-hum sales gain of around 2 percent this year. Others predict a more optimistic increase of up to 3.9 percent. But some analysts say steadily cheaper gas could send holiday sales soaring above 5.4 percent.

Cheaper gas might also help shore up consumers' fragile confidence in an economic recovery that's lumbered along for 4½ years.

(Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)

Front Page

  • Lincoln Park Home Engulfed in Flames Early Wednesday

    A home in the Lincoln Park neighborhood was enveloped by flames early Wednesday morning. Our crew arrived around 5:00 a.m. at the 2700 block of West 4th Street in Duluth.

  • Superior Murder Trial Delayed after New Evidence Released

    Juan Leonardo Padilla, 40, of Fort Mohave, Ariz., is charged with the shooting death of 46-year-old Terrance Rodney Luukkonen of Duluth last May. Luukkonen was shot outside his workplace at Genesis Attachments in Superior.

  • Homemade Audio Unveiled During Day 2 of Byron Smith Murder Trial

    It was a homemade recording inside Byron Smith's home. The hand held device was next to Smith's chair during the shootings. Smith didn't turn it over to police, or even tell them about it. Investigators found the evidence while searching Smith's home the day after the shootings. Although it was 6 hours long, 14 minutes of the audio clip were played in court Tuesday. 

  • Construction to Begin on Last Major St. Louis County Road Damaged by 2012 Floods

    While the devastating floods of 2012 may be a distant memory for some, there are still some visible scars left - including on one western Duluth road. 57th Avenue West and Highland Street is the last major St. Louis County road still damaged by the flooding.

  • Duluth School Board Approves Plan to Help Sell Central High

    One of Duluth's most scenic vantage points - the Central High School property, has been up for sale for most of four years, but still sits empty. On Tuesday night, school and city leaders took a step to do something about that: a formal working arrangement has been made.

 
Advertisement