Tennessee gas prices continued to decline over last week, falling nine cents on average. Tennessee also moved to the third least expensive market in the country. The Tennessee Gas Price average is now $2.82 which is 20 cents less expensive than one month ago and 55 cents less than one year ago. Currently, the average price at the pump for regular unleaded in Rutherford County is $2.69 per gallon.
"Declining oil prices are helping to fuel the declines in pump prices that we're seeing," said Megan Cooper, spokeswoman, AAA - The Auto Club Group. "Unless oil prices reverse course, pump prices should move even lower this week. One factor we are keeping an eye on this week is Tropical Storm Francine in the Gulf, however, it's too early to know what the full impact might be on the market until the storm makes landfall."
National Gas Prices - After idling over the Labor Day weekend, the national average for a gallon of gas resumed its pace of daily declines by falling six cents since last week to $3.27. Key contributors are low gas demand and the plunging cost of oil, which is struggling to stay above $70 a barrel.
According to new data from the Energy Information Administration (EIA), gas demand fell last week from 9.30 million b/d to 8.93. Meanwhile, total domestic gasoline stocks rose slightly from 218.4 to 219.2 million barrels, and gasoline production increased last week, averaging 9.7 million daily. Falling gasoline demand and oil costs will likely keep pump prices sliding.
Today’s national average for a gallon of gas is $3.27, 18 cents less than a month ago and 55 cents less than a year ago.
National Oil Market Dynamics - At the close of Wednesday’s formal trading session, WTI fell by $1.14 to settle at $69.20 a barrel. The EIA reports that crude oil inventories decreased by 6.9 million barrels from the previous week. At 418.3 million barrels, U.S. crude oil inventories are about 5% below the five-year average for this time of year.
Tennessee Regional Prices
- Most expensive metro markets - Memphis ($2.90), Jackson ($2.89), Knoxville ($2.87)
- Least expensive metro markets - Clarksville ($2.68), Chattanooga ($2.69), Cleveland ($2.77)
