AAA: TN gas prices up four cents
Published 3:43 pm Monday, March 27, 2023
Tennessee is the 10th least expensive market in the nation
NASHVILLE — Prices at the pump continue to fluctuate this week, as gas prices are up four cents, on average, compared to last week. The Tennessee Gas Price average is now $3.13 which is 12 cents more expensive than one month ago but 89 cents less than one year ago.
“We’ve seen an uptick in gas demand the last couple of weeks thanks to better driving weather and spring break road trips,” said Megan Cooper, spokeswoman, AAA – The Auto Club Group. “However, recent lower crude oil prices have helped to keep pump price increases in check, despite increasing demand alongside tightening supplies. We are still very much experiencing the seasonal fluctuation that we typically expect this time of year. As we head into this week, it’s very likely Tennesseans will continue to see a wide range of fluctuating gas prices across the state.”
* 26% of Tennessee gas stations have prices below $3.00
* The lowest 10% of pump prices are $2.90 for regular unleaded
* The highest 10% of pump prices are $3.44 for regular unleaded
* Tennessee is the 10th least expensive market in the nation
National Gas Prices
Spring has sprung with gas demand surging the last couple of weeks as motorists took advantage of better driving weather. But fears of a recession caused global oil prices to hover near $70 a barrel, mitigating a rise in gas prices. The national average for a gallon of regular gasoline drifted slightly lower since last week by a penny to hit $3.43.
According to new data from the Energy Information Administration (EIA), gas demand increased from 8.59 million to 8.96 million b/d last week. Meanwhile, total domestic gasoline stocks decreased significantly by 6.4 million bbl to 229.6 million bbl last week. Increasing demand amid tighter supply would typically push pump prices higher; however, recent lower oil prices have pushed prices down.
On March 27, the national average of $3.43 is seven cents more than a month ago but 81 cents less than a year ago.
National Oil Market Dynamics
At the close of last Wednesday’s formal trading session, WTI increased by $1.23 to settle at $70.90. Crude prices rose after the EIA reported that demand grew amid a reduction in gasoline stocks, signaling to the market that demand may be more robust than anticipated this year despite ongoing economic concerns. Additionally, the EIA reported that total domestic commercial crude inventories increased by 1.1 million bbl to 481.2 million bbl last week.
Drivers can find current gas prices along their route using the AAA TripTik Travel planner.
Tennessee Regional Prices
* Most expensive metro markets – Nashville ($3.22), Cleveland ($3.19), Clarksville ($3.18)
* Least expensive metro markets – Kingsport ($3.04), Johnson City ($3.05), Knoxville ($3.05)