Gas prices across Tennessee continue to stabilize, decreasing a penny, on average, over last week. The Tennessee Gas Price average s now $3.15 which is nearly 15 cents more expensive than one month ago and $1.29 more than one year ago.
The average price in Coffee County is hovering around $3.12, which is 3 cents below the state average and 30 cents below the national average, which is currently $3.42.
“Not everybody loves changing their household clocks for the end of Daylight Saving Time,” said Megan Cooper, spokeswoman, AAA – The Auto Club Group. “But shorter days could lead to lower demand for gas. Drivers may head straight home from work to avoid the darkness rather than tack on side trips for shopping or errands.”
· 13% of Tennessee gas stations have prices below $3.00
· The lowest 10% of pump prices are $2.95 for regular unleaded
· The highest 10% of pump prices are $3.39 for regular unleaded
· Tennessee moved to the 9th least expensive market in the nation
National Gas Prices
The price at the pump continued its slow climb, rising two cents on the week, with the national average for a gallon of gas hitting $3.42. For consumers, gasoline prices last hit this mark in September 2014, when “The Maze Runner” ruled the box office and Taylor Swift’s “Shake It Off” topped the pop charts. The latest decision by OPEC and its oil-producing allies to maintain their planned gradual increase in output will not help lessen supply constraints, so any relief will most likely have to come from the demand side.
According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks decreased by 1.5 million bbl to 214.2 million bbl last week. However, gasoline demand rose from 9.32 million b/d to 9.5 million b/d. The slight increase in demand has contributed to price increases, while elevated crude prices continue to put upward market pressure on pump prices.
Today’s national average of $3.42 is 16 cents more than a month ago, $1.31 more than a year ago, and 80 cents more than in 2019.
National Oil Market Dynamics
At the close of Friday’s formal trading session, WTI increased by $2.46 to settle at $81.27. Although crude prices gained for the day due to a weakening dollar, crude prices mostly declined last week after EIA reported that total domestic crude supply increased by 3.3 million bbl to 434.1 million bbl last week. However, according to EIA’s data, the current storage level is approximately 10.4 percent lower than the same time the previous year. A tighter oil supply has helped to keep crude prices above $80 per barrel. This week, crude prices could decline again if EIA’s next weekly report shows another increase in total domestic supply.