Since Monday, the national average for a gallon of regular gasoline has increased by three cents to $3.12. In its latest weekly report, new data from the Energy Information Administration showed that gas demand decreased slightly last week from 9.44 million b/d to 9.17 million b/d, while total domestic gas stocks increased by 1.6 million bbl to 241.6 million bbl. Falling gas demand, while supply increases, would typically help to stabilize and reduce pump prices; however, crude prices continue to increase and send pump prices higher. AAA expects crude oil prices to likely continue climbing following the holiday and through the end of summer.
At the close of Thursday’s formal trading session, WTI increased by $1.76 to settle at $75.23. Crude prices increased due to market anticipation of a decision from the Organization of the Petroleum Exporting Countries and its allies (known as OPEC+) that could increase crude production by 500,000 b/d in August. The announcement on the production increase is expected tomorrow. If enacted, the decision will help to meet crude demand growth expectations as vaccination efforts continue to rollout.
Largest Weekly Increases
- Since last Thursday, these 10 states have seen the largest increases in their averages: Idaho (+11 cents), New Mexico (+11 cents), Utah (+10 cents), Oregon (+10 cents), Michigan (+9 cents), Washington (+9 cents), Alaska (+8 cents), South Dakota (+8 cents), Colorado (+8 cents) and Ohio (+8 cents).