News Department

AAA: Like the sizzling temperatures, gas prices climb higher

The national average for a gallon of gas awoke from a months-long slumber, surging 13 cents since last week to $3.71, according to AAA.

The primary cause appears to be the oil price, which has marched nearly $4 higher in the past few days to hover near $80 per barrel.  As oil accounts for almost 50 percent of the cost of a gallon of gas, higher oil prices usually mean higher pump prices, AAA said.

“Gas demand, meaning people fueling up, remains tepid. It’s lower now than at this time last year and in 2021,” said Andrew Gross, AAA spokesperson. “But while the heat may be keeping some folks home, it also suppresses refinery production, according to experts.  Constrained supplies and a higher cost of oil are tipping the balance toward rising pump prices for now.”

According to new data from the Energy Information Administration (EIA), gas demand rose slightly from 8.86 to 8.94 million b/d last week. Meanwhile, total domestic gasoline stocks dipped from 218.4 to 217.6 million bbl. With supplies tight, if demand should spike, pump prices will follow suit.

Today’s national average of $3.71 is 15 cents more than a month ago but 59 cents less than a year ago.

gas price chart of rising prices

Since last Thursday, these 10 states have seen the largest increases in their averages: Indiana (+23 cents), Iowa (+20 cents), Florida (+20 cents), Ohio (+19 cents), Georgia (+19 cents), Kansas (+18 cents), Tennessee (+18 cents), Texas (+18 cents), North Carolina (+18 cents), and South Carolina (+18 cents).

The nation’s top 10 most expensive markets: California ($4.93), Washington ($4.93), Hawaii ($4.69), Oregon ($4.59), Alaska ($4.31), Nevada ($4.24), Utah ($3.94), Idaho ($3.89), Illinois ($3.95) and Colorado ($3.92).

At the close of Wednesday’s formal trading session, WTI decreased by 85 cents to settle at $78.78 before rebounding Thursday morning.  Due to extended repair timelines at refineries, lower refinery oil usage rates will influence how much oil prices rise. Additionally, the EIA reported that total domestic commercial crude inventories decreased by 600,000 bbl to 456.8 million bbl.

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

Jay Edwards

Born and raised in Northwest NJ, Jay has a degree in Communications and has had a life-long interest in local radio and various styles of music. Jay has held numerous jobs over the years such as stunt car driver, bartender, voice-over artist, traffic reporter (award winning), NY Yankee maintenance crewmember and peanut farm worker. His hobbies include mountain climbing, snowmobiling, cooking, performing stand-up comedy and he is an avid squirrel watcher. Jay has been a guest on America’s Morning Headquarters,program on The Weather Channel, and was interviewed by Sam Champion.

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