The national average price for a gallon of gasoline dropped two cents on the week to $2.46. East Coast and Midwest states are seeing the largest drops in gas prices – as much as six cents – in the last week. While a small number of states, who historically experience ongoing volatility, are seeing increases: Indiana (+11 cents), Michigan (+8 cents), Ohio (+4 cents), Hawaii (+1 cent) and Illinois (+1 cent). Drivers can expect pump prices to continue to drop heading into the holiday season as supply strengthens and fall gasoline demand weakens.
“Nationally, gas prices are 10 cents cheaper on the month and will continue to drop as we count down the days to the holidays,” said Jeanette Casselano, AAA spokesperson. “AAA expects gasoline demand to weaken throughout the winter, which translates to better prices at the pump.”
Consumer gasoline demand is registering under 9 million b/d for the second consecutive week, while gasoline inventories increased by nearly 7 million bbl, according to the Energy Information Administration (EIA).
- The top ten states with the largest weekly changes are: Indiana (+11 cents), Michigan (+8 cents), Kentucky (-6 cents), Ohio (+4 cents), Delaware (-4 cents), Maine (-4 cents), Kansas (-4 cents), Iowa (-4 cents), Wisconsin (-4 cents) and New Mexico (-3 cents).
- The nation’s top ten least expensive markets are: Oklahoma ($2.19), Alabama ($2.20), South Carolina ($2.21), Mississippi ($2.21), Arkansas ($2.22), Missouri ($2.22), Texas ($2.22), Tennessee ($2.25), Louisiana ($2.27) and Virginia ($2.27).
On the week, most South and Southeast states are seeing moderate gas price drops – two to three cents. The region is home to the top five states with the cheapest gas in the country: Oklahoma ($2.19), Alabama ($2.20), South Carolina ($2.21), Mississippi ($2.21) and Texas ($2.22). At $2.41, Florida carries the most expensive gas of all states in the region, which is about 20 cents more than one year ago.
There was a 1.5 million bbl build in gasoline inventory. With 78.4 million bbl in total, the South and Southeast region carry the largest amount of inventory in the country. Second largest is Mid-Atlantic and Northeast with 58.4 million bbl, a 20 million bbl difference.