Fuel prices remain relatively low, while data from the U.S. EIA shows that gasoline demand has reached all-time high.
The average fuel prices have dropped slightly on the week, and they are still at their lowest point for this time of year since 2005.
According to the recent fuel report from AAA, today’s national average of $2.31 per gallon is down three cents on the week and two cents on the month. Additionally, a year-over-year comparison has revealed that drivers are still benefitting from significant discounts from last year, as prices are currently down 47 cents per gallon versus a year ago.
AAA reported that this year’s summer driving season is still expected to set new records for both gasoline demand and miles traveled. While strong demand has the potential to put additional pressure on refineries, refineries have reportedly been increasing their output of gasoline supply, and have more than kept pace with growing demand, thus far. In fact, refineries are reporting utilization rates to be at their highest level since April, and gasoline inventories have posted substantial increases as a result of these record numbers.
Over the past 16 consecutive days, gas prices have fallen. According to AAA, if the supply can continue to keep pace with demand, drivers will likely continue paying prices that are at their lowest point for the summer months since 2005.
According to this week’s fuel report from AAA, California and Hawaii are still reporting the nation’s highest average fuel prices per gallon, as drivers are paying $2.90 and $2.79 per gallon, respectively. The nation’s lowest average fuel prices are being recorded in South Carolina and Mississippi, where drivers are paying $2.00 and $2.06, respectively.