Since Monday, the national average for a gallon of regular gasoline has increased by a nickel to $1.92, which is six cents higher than a week ago, 12 cents more than a month ago, and 92 cents less than a year ago. Pump prices have increased across the country as gas demand has trickled higher, more states reopen businesses and crude prices have increased. Despite the increases, the last time the national average was less than $2/gallon heading into a Memorial Day Weekend was in 2003. For gas demand, new data from the Energy Information Administration revealed that it hit 6.8 million b/d last week, which is 2.6 million b/d lower than this time last year. Gas demand could see a short-lived spike this weekend if Americans choose to travel during the holiday weekend.
At the close of Thursday’s formal trading session, WTI increased by 43 cents to settle at $33.92. Domestic crude has seen the sixth consecutive day of price increases, amid growing market optimism that oil demand may be rebounding as states reopen and more people are driving. Additionally, crude prices have increased as the Organization of the Petroleum Exporting Countries continues to implement its 9.7 million b/d production reduction agreement for May and June 2020 with other large producers, including Russia.
Largest Weekly Increases
- Since last Thursday, these 10 states have seen the largest increases in their averages: Idaho (+17 cents), Utah (+15 cents), Kentucky (+13 cents), Colorado (+13 cents), Delaware (+11 cents), Minnesota (+11 cents), Florida (+11 cents), Maryland (+11 cents), North Carolina (+10 cents) and Iowa (+10 cents).