CINCINNATI, OH. (November 23, 2020) – At $2.10, this Thanksgiving’s national gas price average is shaping up to be the lowest since 2015. The holiday weekend average that year was a nickel cheaper at $2.05.

“Typically, cheaper gas prices are an incentive for people to travel during a holiday weekend, but that is just not the case this year,” said Jenifer Moore, AAA spokesperson. “AAA forecasted a decrease in Thanksgiving travel year-over-year due to increasing COVID-19 positive case numbers, renewed quarantine guidelines and the latest CDC guidance. All of this has prompted Americans, who had plans to travel, to reconsider spending the holiday at home.”

Today, nearly half of all states have gas price averages that are 50 to 75 cents cheaper than a year ago. Locally, Ohioans are seeing an average of $1.91 per gallon at the pump. This is a decrease of 56-cents over last year, and the lowest since 2015 when Ohioans paid $1.86 per gallon for the Thanksgiving holiday. 

In its latest report, the Energy Information Administration (EIA) measured demand, for the week ending November 13, at 8.2 million b/d. That is not only a weekly decrease, but the lowest demand reading since mid-June. As demand dipped, U.S. gasoline stocks increased to nearly 228 million bbl. Americans can expect gas prices to continue to push less expensive heading into December.

GAS PRICES FROM AAA

Average price per gallon of self-serve, regular gasoline.

Gas prices provided by AAA, https://gasprices.aaa.com/

Oil Market Dynamics

At the close of Thursday’s formal trading session, WTI increased by 41 cents to settle at $42.15. Domestic crude prices increased last week amid growing market optimism that a vaccine for the coronavirus will be available by the end of 2020. However, as infection rates increase — alongside new measures imposed by states meant to decrease transmission of the virus — crude prices may decline this week due to falling demand. Additionally, the EIA’s weekly report revealed that total domestic crude inventories grew by 800,000 bbl to 489.5 million bbl last week, signaling that production may be outpacing demand.

AAA provides automotive, travel, and insurance services to 60 million members nationwide and nearly two and a half million members in Ohio. AAA advocates for the safety and mobility of its members and has been committed to outstanding road service for more than 100 years. AAA is a non-stock, non-profit corporation working on behalf of motorists, who can now map a route, find local gas prices, discover discounts, book a hotel, and track their roadside assistance service with the AAA Mobile app (AAA.com/mobile) for iPhone, iPad and Android. For more information, visit www.AAA.com.

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