Tennessee gas prices decline for fourth straight week

Published 12:19 pm Monday, June 3, 2024

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NASHVILLE — Gas prices across Tennessee have now declined for the fourth consecutive week, with a nine-cent drop on average over the past week. The Tennessee Gas Price average is currently $3.08, which is 25 cents less than one month ago and 11 cents less than one year ago.

“We’re now in our fourth straight week of gas price declines, and Tennessee has the fourth least expensive state gas price average in the country,” said Megan Cooper, spokeswoman for AAA – The Auto Club Group. “Lower gasoline demand and falling crude oil prices are helping to push pump prices lower. It’s likely that we’ll see our state gas price average move lower again this week. The Atlantic Hurricane Season began June 1 and is expected to be very active, so moving forward all eyes will be on the weather and its potential impact on gas prices. A storm impacting the Gulf Coast oil production and refining centers could temporarily push prices higher.”

National Gas Prices

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Nationally, the average for a gallon of gasoline has fallen by six cents since last week to $3.53, marking the largest one-week drop thus far in 2024. The primary reasons for this decline are tepid demand and a lower oil price. According to new data from the Energy Information Administration (EIA), gas demand slightly decreased from 9.31 million barrels per day (b/d) to 9.14 million b/d last week. Meanwhile, total domestic gasoline stocks rose from 226.8 million barrels to 228.8 million barrels. Lower gasoline demand, increasing supply, and falling oil costs could lead to further decreases in pump prices.

On June 3, the national average of $3.53 is thirteen cents less than a month ago and two cents less than a year ago.

National Oil Market Dynamics

At the close of Wednesday’s formal trading session, West Texas Intermediate (WTI) crude oil declined by 60 cents to settle at $79.23 a barrel. Prices fell despite the EIA reporting a decrease in crude oil inventories by 4.2 million barrels from the previous week. At 454.7 million barrels, U.S. crude oil inventories are about 4% below the five-year average for this time of year.

Drivers can find current gas prices along their route using the AAA TripTik Travel planner.

Tennessee Regional Prices

  • Most expensive metro markets: Morristown ($3.15), Jackson ($3.13), Memphis ($3.12)
  • Least expensive metro markets: Chattanooga ($2.90), Cleveland ($3.03), Clarksville ($3.04)

For more information and updates, visit AAA’s website or use the AAA TripTik Travel planner.