The seasonal surge in gasoline demand leading into the long holiday weekend resulted in the national average for a gallon of gas rising four cents since May 18 to $3.57 as of May 25.
AAA forecasts that Memorial Day road trips will be up 6% over last year, with more than 37 million Americans driving to their destinations.
“The rise in demand for gasoline is helping to push pump prices higher for now,” said Andrew Gross, AAA spokesperson. “But the increase is mitigated by the low cost of oil, which is wobbling around in the low $70s per barrel. Pump prices could stabilize or fall once this long weekend is in the rearview mirror.”
According to new data from the Energy Information Administration (EIA), gas demand increased from 8.91 to 9.43 million b/d over the same week. Rising demand has helped to boost pump prices. Meanwhile, total domestic gasoline stocks decreased by 2 million bbl to 216.3 million bbl. If gas demand grows amid tighter supplies, drivers will likely see pump prices rise.
The May 25 national average of $3.55 is eight cents less than a month ago and $1.02 less than a year ago.
Since May 18, these 10 states have seen the largest increases in their averages: Wisconsin (+15 cents), Colorado (+12 cents), Indiana (+9 cents), New Jersey (+9 cents), Idaho (+9 cents), Montana (+8 cents), Connecticut (+8 cents), Maine (+7 cents), New Hampshire (+7 cents) and Michigan (+7 cents).
The nation’s top 10 most expensive markets: California ($4.81), Hawaii ($4.75), Washington ($4.63), Arizona ($4.58), Nevada ($4.24), Oregon ($4.20), Utah ($4.08), Illinois ($3.97), Alaska ($3.94) and Idaho ($3.83).
Source: AAA
