The national average price of gas has held relatively steady over the past week and has declined on just one of the past four days. The national average price for regular unleaded gasoline is $2.12 per gallon, which is the lowest price for this date since 2004 and 26 cents below 2016’s peak price to date of $2.40 on June 11.
South Dakota’s price average today for self-serve regular gasoline has also held steady over the last week at $2.21 per gallon, according to GasPrices.AAA.com. One year ago gas prices were 66 cents higher in the state.
Abundant supplies of gasoline have contributed to starkly lower gas prices across the country during this summer driving season. However, the U.S. Department of Energy last week reported the largest gasoline supply decline since April (3.3 million barrels), which was enough to at least temporarily reverse the lengthy slide in pump prices over the past several days.
As of recently, some 44 percent of gas stations nationwide were selling gasoline for $2.00 per gallon or less, compared to fewer than one in 1,000 on this same date last year. Less than one percent of stations nationwide are selling gasoline for more than $3.00 per gallon, compared to 11 percent of stations one year ago.
With gasoline supplies high and oil prices low, pump prices are likely to remain relatively cheap through the remainder of the summer and into the fall. This comes even as U.S. drivers are on track to shatter the all-time record for total miles driven in a year. Provided the next month does not bring a major market-moving event, like a major hurricane or escalating geopolitical tensions overseas, pump prices are likely to remain at relatively low levels. It is even possible that the national average price of gas may dip below $2.00 per gallon after the summer driving season ends and refineries switch over to less expensive winter-blend gasoline on September 15.
Quick Stats
· Gas prices in fifteen states are now below $2.00 per gallon: South Carolina ($1.81), Alabama ($1.86), Tennessee ($1.89), Mississippi ($1.89), New Jersey ($1.90), Virginia ($1.91), Arkansas ($1.92), Delaware ($1.94), Louisiana ($1.95), Texas ($1.98), Missouri ($1.97), Oklahoma ($1.97), Georgia ($1.98), Kentucky ($1.98) and North Carolina ($1.97).
· Despite year-over-year savings, the West Coast remains the most expensive market for gasoline, including the only four states where drivers are paying an average of more than $2.50: Hawaii ($2.73), California ($2.66), Washington ($2.62), and Alaska ($2.59).
As has been a regular refrain in recent years, gas prices in the Great Lakes region and central states continue to be the most volatile in the nation, with tightening supplies and refinery issues temporarily sending prices sharply higher. The past week has been a microcosm of this effect as the region has featured the three most dramatic increases in the nation (Michigan +14 cents, Illinois +7 cents, and Ohio +7 cents) as well as the largest decrease (Indiana -7 cents). In last week’s AAA Gas Price Report, Indiana featured the largest weekly increase (+10 cents). Wholesale gasoline prices in the Great Lakes region spiked last week following reported issues at the BP facility in Whiting, Ind. (the region’s largest refinery), which built on recent data from the Energy Information Administration showing that regional supplies, while still robust, are tightening. Much of these gains were reversed on Friday when outlets reported that the refinery issue had been resolved, so it is likely next week’s report will once again feature the region as experiencing significant declines.
Prices in the Central United States are not immune to volatility of those in the Great Lakes, however drivers in the Central region continue to pay among the cheapest pump prices in the country, including four states where prices are now below $2.00: Tennessee ($1.89), Missouri ($1.97), and Oklahoma ($1.97).
Loading ...