AAA: TN gas prices rise a penny
Published 3:06 pm Monday, February 20, 2023
Tennessee is the 10th least expensive market in the nation
NASHVILLE – After two consecutive weeks of gas price declines across the state, pump prices saw varying amounts of fluctuation over the course of last week. We are starting this week only a penny more expensive than last week, on average. The Tennessee Gas Price average is now $3.10 which is nearly two cents less expensive than one month ago and nearly 19 cents more than one year ago.
“Fluctuations in crude oil pricing brought our trend of declining gas prices here in Tennessee to an end last week. Crude oil prices have proven to be volatile in recent weeks, however, we may only see moderate price increases in the short term given recent increases in domestic gasoline stocks alongside a slight drop in demand,” said Megan Cooper, spokeswoman, AAA – The Auto Club Group. “It’s also important to note that market volatility is likely to continue in the coming months. We typically see pump prices gradually begin to rise as Americans start to take road trips, which drives up demand for fuel. Refinery maintenance season also falls in the spring, which is when refineries will start to switch from winter to summer blend gasoline, which is more expensive to produce.”
* 30% of Tennessee gas stations have prices below $3.00
* The lowest 10% of pump prices are $2.88 for regular unleaded
* The highest 10% of pump prices are $3.42 for regular unleaded
* Tennessee is the 10th least expensive market in the nation
National Gas Prices
The national average for a gallon of gas posted a lackluster week, remaining the same as last week at $3.41. Slack demand for gas and waffling oil prices are the primary reasons the national average is stuck in neutral.
According to new data from the Energy Information Administration (EIA), gas demand dipped slightly from 8.43 million to 8.27 million b/d last week. Meanwhile, total domestic gasoline stocks increased by 2.3 million bbl to 241.9 million bbl last week. If gas demand remains low, drivers may see only moderate price increases amid growing total domestic stocks.
Today’s national average of $3.41 is two cents more than a month ago, but 12 cents less than a year ago.
National Oil Market Dynamics
At the close of last Wednesday’s formal trading session, WTI decreased by 47 cents to settle at $78.59. Crude prices declined at the end of last week after the EIA reported that total domestic commercial crude inventories increased substantially by 16.3 million bbl to 471.4 million bbl last week. Earlier last week, crude prices rose due to ongoing market optimism that global oil demand will be higher than anticipated this year after China lifted its coronavirus lockdown restrictions.
Drivers can find current gas prices along their route using the AAA TripTik Travel planner.
Tennessee Regional Prices
* Most expensive metro markets – Memphis ($3.16), Nashville ($3.14), Cleveland ($3.13)
* Least expensive metro markets – Kingsport ($3.04), Chattanooga ($3.04), Johnson City ($3.05)