Back to Consumer

National Average Hits Ten Week Tumble

|

For the tenth straight week, gas prices have moved lower with the national average falling 5.7 cents over the last week to $2.36 per gallon, the lowest since August 2017, according to GasBuddy data compiled from more than 10 million individual price reports. The national average price of diesel also moved lower, falling 4.0 cents to an average of $3.07 per gallon. The lowest gas price in 31 states is now under $2 per gallon, the highest tally in over a year. Diesel prices, however, remain 25 cents higher than a year ago.

The national average is currently 6 cents per gallon lower than its year-ago level and 26 cents lower than a month ago. Nearly 65 metro areas now feature an average price of under $2 per gallon, led by Monroe, LA, where the average price is $1.85 per gallon this morning. A full list of cheapest and most expensive metros and states can be seen here: http://fuelinsights.gasbuddy.com/Top25

“For the tenth straight week, gas prices have been in a state of decline, falling to the lowest level since prior to Hurricane Harvey in 2017 to the mid $2.30s. Now 31 states have at least one gas station selling gasoline under $2 per gallon, saving motorists hundreds of millions of dollars versus prices just two months ago,” said Patrick DeHaan, head of petroleum analysis for GasBuddy. “Oil prices have been slow to react to a cut in oil production from OPEC, instead focusing on economic concerns and trade tensions with China. Thus far, it seems that it “may take a village” to help oil prices recover, help that would include robust demand from the U.S., which seems to be anything but the case. For now, prices will remain seasonally challenged, tied to the fact, or expected fate, of the economy moving forward.”

Oil markets, along with refined products, bailed out on an early morning rally Friday, spooked by talk of a global recession and ever-present trade war fears, despite another week of declining rig counts in the U.S. and a supply squeeze caused by Alberta’s pullback of 325,000 barrels in production of heavy WCS crude beginning in less than two weeks. Despite OPEC’s agreement along with Russia to curtail output by 1.2 million barrels per day starting January 1, the bears sent WTI oil down $1.38 to $51.20 a barrel and Dated Brent off $1.17 to $60.28.

A small rally this morning appears to be fizzling with renewed fears of a fourth U.S. Federal Reserve interest rate hike, which could be seen as slowing economic growth domestically and hampering fuel demand generally. Even ongoing oil production setbacks in Libya and reports that Venezuela can only muster a little over 1.1 million barrels a day or less than a third of its 2014 high, elicits nothing more than a yawn from traders fearing the unknown. Indeed, Iranian output declining below 3 million barrels a day for the first time since the lifting of sanctions in 2015 and protests in Canada over the government’s unwillingness to push forward with critical pipeline construction, would normally be seen as bullish signs, but are being sidelined in favor of macroeconomic rumors. As such, oil is barely managing to remain neutral with the liquids up ever so slightly.

All 50 states saw average gas prices decline in the last week, as retail gasoline prices continue to fall, following oil’s continued weakness.

States with the lowest average gas prices: Missouri ($1.97), Oklahoma ($1.99), Louisiana ($2.00), South Carolina ($2.00) and Texas ($2.01).

States with the highest average gas prices: Hawaii ($3.45), California ($3.39), Washington ($3.17), Alaska ($3.03) and Oregon ($3.01).

GasBuddy is a company that connects drivers with their Perfect Pit Stop. As the leading source for crowdsourced, real-time fuel prices at more than 150,000 gas station convenience stores in the U.S., Canada and Australia, millions of drivers use the GasBuddy app and website every day to find gas station convenience stores based on fuel prices, location and ratings/reviews. GasBuddy’s first-of-its-kind fuel savings program, Pay with GasBuddy, has saved Americans more than $6 million at the pumps since its launch in 2017.