Since Monday, the national average for a gallon of regular gasoline has increased by nine cents to $4.41. According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks decreased by 3.6 million bbl to 225 million bbl last week. Gasoline demand also decreased slightly from 8.86 million b/d to 8.7 million b/d. Typically, lower demand would put downward pressure on pump prices. However, crude prices remain volatile, and as they surge, pump prices follow suit. Pump prices will likely face upward pressure as oil prices stay above $105 per barrel. 

At the close of Wednesday’s formal trading session, WTI increased by $5.95 to settle at $105.71. At the beginning of the week, the price of crude oil slid below $100 per barrel due to global market concern that crude demand will suffer as COVID lockdowns in China remain in place. However, crude prices reversed course yesterday over growing market worries that Ukrainian and European Union actions against Russian oil-and-natural gas companies could spark retaliation by Russia that leads to more market disruption and uncertainty. Crude prices rose despite EIA reporting that domestic crude supply increased by 8.5 million bbl to 424.2 million bbl. The current level is approximately 12.5 percent lower than during the first week of May 2021.

Largest Weekly Increases

• Since last Thursday, these 10 states have seen the largest increases in their averages: Kentucky (+28 cents), Illinois (+25 cents), New York (+25 cents), Indiana (+24 cents), North Carolina (+23 cents), Florida (+22 cents), Ohio (+22 cents), Alabama (+21 cents), Rhode Island (+20 cents) and South Carolina (+20 cents).