HARTFORD, CT (June 21, 2021) – Despite increasing demand, gas prices across the country are holding relatively steady because of a steady increase in supply.
On the week, 40 state gas price averages held steady or saw fluctuation of only one to two cents. This helped the national average decrease by a penny since last Monday, down to $3.07 today.
According to Energy Information Administration (EIA) data, total gasoline stocks sit at almost 243 million bbl, which is a 9 million bbl surplus compared to the same week in June 2019. Stock levels have increased in line with refinery utilization rates, which are up to its highest rate since January 2020. Demand is also trending higher. In EIA’s latest report, demand increased by nearly 1 million b/d to 9.3 million b/d.
“Despite the latest increase in demand, many motorists are not seeing significant pump price jumps because stock levels have been building steadily over the last four weeks,” says Amy Parmenter, spokesperson for AAA in Greater Hartford. “During this same period, the average price of gas across Connecticut has increased only two cents.”
Last week, crude oil jumped to $72/bbl, but decreased by $2/bbl at Friday’s close. If crude prices trend at this or a lower price point for a sustained period, that would help to minimize jumps at the pump through the end of this month.
In Connecticut, the average price of gas is now $3.09, unchanged on the week, up two cents since last month, and up 98 cents higher than last year on this date.
Today’s national gas price average is more expensive on the month (+3 cents) and the year (+95 cents).
The nation’s top 10 most expensive markets: California ($4.23), Hawaii ($3.96), Nevada ($3.67), Washington ($3.63), Oregon ($3.48), Alaska ($3.39), Utah ($3.35), Illinois ($3.32), Idaho ($3.30) and Colorado ($3.30)
The nation’s top 10 biggest weekly changes: Colorado (+8 cents), Montana (+4 cents), Michigan (−4 cents), Indiana (−4 cents), Illinois (−3 cents), Alaska (+3 cents), Florida (−3 cents), New York (+3 cents), South Carolina (−3 cents) and Kentucky (−3 cents)
Oil Market Dynamics
At the close of Friday’s formal trading session, WTI increased 60 cents to settle at $71.64. Although a stronger dollar helped to limit price gains at the end of the week, crude prices fluctuated last week, between $70 and $72/bbl, due to optimism that vaccine rollout will continue to help crude demand recover. Additionally, EIA’s latest report, revealing that total domestic crude supplies decreased by 7.4 million bbl to 466.7 million bbl last week, helped to bolster crude prices. For this week, crude prices could continue to climb, especially if EIA’s next weekly report shows another decline in total domestic crude supply.
As usual, the price of gas across CT varies by region:
- Bridgeport - $3.16, unchanged since last week
- Hartford - $3.06, unchanged since last week
- New Haven/Meriden - $3.06, unchanged since last week
- Norwich/New London - $3.10, unchanged since last week
Motorists can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad and Android. The app can also be used to map a route, find discounts, book a hotel and access AAA roadside assistance. Learn more at AAA.com/mobile.