CINCINNATI, Oh. (February 10, 2020) – Gas prices may be 16-cents more expensive than last year, but that price gap has been shrinking steadily. It’s the smallest year-over-year difference seen in two months.

“At $50/bbl (West Texas Intermediate), crude oil prices are at their cheapest point in a year,” said Jenifer Moore, AAA spokesperson. “That, plus steady gasoline stock levels and low demand have helped to push the national average lower – a dime cheaper than three weeks ago.”

Today’s national gas price average is $2.43. That is four cents cheaper than last week and 16 cents cheaper than last month. Motorists across the country can find gas for less than $2.25 at 1 in 3 (38%) of all gas stations.

Gas Prices From AAA

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

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

Great Lakes and Central States

Motorists can find gas for less than $2/gallon at 28% of Missouri ($2.06) gas stations, 17% in Kentucky ($2.17), 4% in Kansas ($2.1) and 2% in Iowa ($2.22). On the week, gas prices are as much as nine cents cheaper in the region. Michigan (-9 cents) saw the largest weekly decrease and Indiana (-1 cent) saw the smallest decrease in the Great Lakes and Central region.

Regional gas price averages are cheaper on the week and the month, but as much as 23 cents more expensive year-over-year.

Regional gasoline stocks built by 700,000 bbl, pushing total stocks to 58.6 million bbls, per Energy Information Administration (EIA) data. Regional stock levels have not been this healthy since March 2019. Stocks are expected to increase this month and push gas prices even cheaper, with the potential for more states in the region selling gas under the $2/gallon mark.

Oil Market Dynamics

At the close of Friday’s formal trading session on the NYMEX, WTI dropped by 63 cents to settle at $50.32. Crude prices have dropped for the third consecutive week as market concerns continue to increase due to the growing impact of the coronavirus on global travel. If international travel decreases, global crude demand would likely follow suit and result in lower crude consumption worldwide. Prices could decrease again this week if concerns about the virus continue to weigh on the crude oil market.

Declining crude prices were contained slightly toward the end of last week after reports emerged that the Organization of the Petroleum Exporting Countries (OPEC) is considering deeper production cuts to offset demand concerns due to the coronavirus. OPEC and its partners are scheduled to meet in Vienna, Austria on March 5 and 6 to review their existing 1.7 million b/d production reduction agreement, but the cartel said that it may consider having the meeting sooner as the global public health crisis grows.

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.  The not-for-profit, fully tax-paying member organization works 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 for iPhone, iPad and Android.  For more information, visit www.AAA.com. 

###