Although Tennessee gas prices increased almost a dime from last week, the state average remains low compared to the rest of the country (the 12th lowest state average). Tennessee drivers are paying an average price of $2.44 per gallon for regular unleaded.
Monday’s state average was 9 cents more than a week ago, 25 cents more than this time last month and 3 cents higher than this time last year.
On the week, every state except Florida (no change) saw gas prices increase, some as much as 16 cents, pushing the national gas price average up eight cents over last week. The national average is $2.62, which is 8 cents higher than last week, 23 cents higher than a month ago, but only two cents higher than last year at this time.
“Thanks to increasing demand and tightening gasoline stocks across the country, March gas prices came in like a lion and will not go out like a lamb,” said Jeanette Casselano, AAA spokesperson. “State gas price averages are very similar to a year ago, give or take a few pennies, which means some motorists are paying among the most expensive averages seen this time of year in the last five years.”
At the close of Friday’s formal trading session on the NYMEX, WTI decreased 94 cents to settle at $59.04. U.S. stock market losses dragged oil prices lower despite new data from EIA that revealed that total domestic crude inventories fell by nearly 10 million barrels to 439.5 million barrels.
The larger-than-expected drawdown could be a sign of higher crude prices in the near future in light of crude export sanctions on Iran and Venezuela and OPEC’s 1.2 million barrels per day production reduction agreement which is in place with other major global crude producers through June 2019. Crude prices could rise this week if there is another major drawdown. Pump prices will likely follow suit as the country enters the late spring and summer driving seasons.
