Tennessee gas prices continued their downward trend last week, falling nearly 11 cents, on average.
The Tennessee Gas Price average is now $3.26 which is nearly 27 cents less expensive than one month ago and 37 cents more than one year ago.
“Gas prices across the state are now on a two-week streak of declines and have reached seven month lows,” said Megan Cooper, spokeswoman for AAA – The Auto Club Group. “The oil market finished flat last week, which should help to push pump prices lower this week.”
51% of Tennessee gas stations have prices below $3.25
The lowest 10% of pump prices are $2.98 for regular unleaded
The highest 10% of pump prices are $3.66 for regular unleaded
Tennessee is the 6th least expensive market in the country
National Gas Prices
The national average price for a gallon of gas fell seven cents in the past week to reach $3.71, a level not seen since the beginning of March. The primary reason for this decline is the recent lower cost for oil.
According to data from the Energy Information Administration (EIA), gas demand increased slightly from 8.59 million b/d to 8.73 million b/d last week. Meanwhile, total domestic gasoline stocks rose by 300,000 bbl to 214.8 million bbl. Although gasoline demand has increased slightly, lower oil prices have led to falling pump prices. If gasoline demand begins to subside, as it typically does post-Labor Day with the end of summer driving, pump prices will likely continue to decrease.
Today’s national average of $3.71 is 26 cents less than a month ago but 54 cents more than a year ago.
National Oil Market Dynamics
At the close of Friday’s formal trading session, WTI increased by $3.25 to settle at $86.79. Although a weakening dollar helped to increase crude prices at the end of the week, prices dropped earlier in the week amid ongoing market concerns that oil demand will fall if economic growth slows or stalls due to a recession. For this week, crude prices could decrease if demands concerns persist. Additionally, EIA’s latest weekly report showed that total commercial crude inventories increased significantly by 8.9 million bbl to 427.2 million bbl.
Drivers can find current gas prices along their route using the AAA TripTik Travel planner.
Tennessee Regional Prices
Most expensive metro markets – Morristown ($3.39), Jackson ($3.37), Memphis ($3.35)
Least expensive metro markets – Clarksville ($3.08), Chattanooga ($3.12), Cleveland ($3.13)