NASHVILLE — Tennessee gas prices increased slightly last week, but the state remains one of the least expensive markets in the nation.
The state average rose nearly a penny to $1.90, which is 4 cents less than one month ago and nearly 44 cents less than one year ago, AAA reported. The national average of $2.17 is 3 cents cheaper than last month and 45 cents less than a year ago.
“Gas prices across the state are likely to fluctuate during back to school season, but we expect them to remain low,” said Megan Cooper, spokesperson for AAA — The Auto Club Group, in a press release. “We’ve likely seen prices at the pump peak for 2020, barring any major hurricane(s).”
• 91% of Tennessee gas stations have prices below $2.
• The lowest 10% of pump prices are $1.71 for regular unleaded.
• The highest 10% of pump prices are $2.21 for regular unleaded.
• Tennessee is now the eighth least expensive market in the nation.
Most expensive gas prices in the state
• Nashville ($1.95)
• Jackson ($1.95)
• Memphis ($1.95)
Least expensive gas prices in the state
• Knoxville ($1.83)
• Kingsport ($1.85)
• Clarksville ($1.86)
Across the nation
The national gas price average has pushed only as high as $2.20 since the beginning of the pandemic, AAA reported, and that happened just one month ago. In the last four weeks, motorists have seen the national average slowly decrease, despite gasoline demand last week reaching the highest measurement (up to 8.88 million barrels per day) since mid-March, according to the latest Energy Information Administration (EIA) weekly report.
Across the country, 72% of all stations are selling gas for less than $2.25 and 41% have gas under $2 per gallon. EIA measures gasoline stocks at 247 million barrels — a 12 million year-over-year surplus — for the week ending Aug. 7.
This extremely healthy supply amid lower seasonal demand is paving the way for one of the lowest annual gas price averages this decade, according to AAA.
What about oil?
At the end of Friday’s formal trading session, West Texas Intermediate crude decreased by 23 cents to settle at $42.01 per barrel, AAA reported.
Crude prices ended the week lower after the International Energy Agency reduced its outlook for 2020 global oil demand to 91.9 million barrels per day from 92.1 million barrels per day. Reduced demand for gasoline and other transportation fuels, including jet fuel, have pushed global crude demand down.
As new coronavirus infections increase worldwide, global demand will likely continue to decline and contribute to further reductions in crude prices this week.
To view daily gas price averages, visit gasprices.aaa.com.