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Gas prices holding steady in Tennessee

Tennessee gas prices shifted slightly lower, on average, over last week. The Tennessee Gas Price average is now $2.69 which is only a penny more expensive than one month ago and $1.13 more than one year ago. 

The average price in Coffee County is $2.66 per gallon, which is 3 cents below the state average and 22 cents below the national average, which is $2.88.

“Tennessee gas prices have seen minimal fluctuation over the last almost six weeks, moving only a penny or two in either direction week-to-week,” said Megan Cooper, spokesperson, AAA – The Auto Club Group. “Anticipated strong springtime gasoline demand is likely to help keep a floor on falling gas prices. However, a healthy gasoline supply will likely help to keep pump prices in check, especially if crude oil pricing holds steady.”

Quick Facts

· 78% of Tennessee gas stations have prices below $2.75
· The lowest 10% of pump prices are $2.51 for regular unleaded
· The highest 10% of pump prices are $2.96 for regular unleaded
· Tennessee moved to the 10th least expensive market in the nation this week

National Gas Prices

Today’s national average is $2.88 which is 2 cents more than one month ago and nearly $1.11 more expensive than last year. 

According to new data from the Energy Information Administration (EIA), total domestic gasoline stocks increased by 100,000 bbl to 235 million bbl last week. The increase helped to minimize pump price increases as demand increased from 8.94 million b/d to 9.1 million b/d. Last week’s demand estimate is one of the highest since March 2020, when social distancing restrictions were established that dramatically reduced gas demand, and is in line with typical spring driving season rates seen pre-pandemic. Continued growth in total domestic supply will likely help to keep pump prices in check. 

National Oil Market Dynamics

At the close of Thursday’s formal trading session, WTI increased by eight cents to settle at $61.43. Crude prices increased despite growing market concern that surging coronavirus infection rates in Asia may derail expectations for crude demand recovery. Additionally, EIA’s weekly report revealed that total domestic crude inventory increased by 600,000 bbl to 493 million bbl last week, contributing to downward pressure on crude prices. 

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