The Week

Drivers across the nation, as well as in Maryland, have watched pump prices increase a couple of pennies this week as they hit the road in record numbers for the Fourth of July holiday. The national average price for a gallon of gas rose to $2.87 on Independence Day, up 64 cents over last’s year holiday, while Maryland’s average increased to $2.81, up 60 cents from the 2017 holiday.

Despite the year-over-year increase, prices remain lower than four years ago in 2014, the last time prices were at their highest for the Fourth of July holiday. That year the national average price was $3.66 per gallon, while Maryland’s average was slightly higher at $3.68. 

Today’s national gas price average is $2.87, up two cents in the last week, but down seven cents in the last month. Year-over-year, the national average is higher, by 63 cents per gallon.

Maryland’s average is five cents lower than the national average at $2.82 per gallon, which is four cents more than last week, but 10 cents lower from last month. The state average is pricing 60 cents per gallon more than last year on this date.

Weekly price increases for metros across the state range from two cents per gallon in the Maryland suburbs of Washington, D.C. to as high as eight cents in Salisbury. Highest prices in the state can be found in Cumberland at $2.99 on average, one cent shy of the $3.00 per gallon mark.

At the close of NYMEX trading Thursday, West Texas Intermediate (WTI) crude oil settled at $72.94 per barrel, down 51 cents from a week ago.

The Energy Information Administration (EIA) reports that crude oil supplies surprisingly increased last week while gasoline supplies decreased. Analysts continue to watch the price of crude oil as it remains above the $70 mark for another week. Geopolitical issues are cited for fueling the increase in crude oil prices, including the U.S.’s decision to exit from the Iran nuclear accord and the administration’s demands that countries reject purchases of Iranian oil. This week, Iran threatened to block oil shipments if the U.S. continued to seek renewed sanctions, further pushing prices.

CURRENT AND PAST GAS PRICE AVERAGES 

Regular Unleaded Gasoline

The Weekend

“Given the recent uptick in gas prices, drivers should prepare themselves for this trend to continue in the coming weeks,” said Christine Sarames Delise, a spokeswoman for AAA Mid-Atlantic. “AAA expects to see the national average for a gallon of gasoline head toward $3 as factors, including a shrinking global crude oil supply, continuing summer driving demand for gasoline, and sanctions being placed on Iran, create an unpredictable market.”

The Week Ahead

Gas prices are at their highest level for this time of year since 2014 and will likely remain high for the remainder of the summer if U.S. demand remains strong, domestic and global supply decline and crude oil continues to sell over $70 per barrel. Motorists may see the national gas price average jump back up to nearly $3 a gallon in coming months, while some Maryland moto

AAA has a variety of resources to help motorists save on fuel: 

• Fuel Price Finder (AAA.com/fuelfinder) locates the lowest fuel price in your area. 
• AAA Gas Cost Calculator (GasPrices.AAA.com/AAA-gas-cost-calculator/) helps budget travel expenses. 
• TripTik Mobile (AAA.com/mobile) plots fuel prices along your travel route. 
• AAA's Member Rewards Visa® Credit Card (AAA.com/financial/AAAvisa.htm) accumulates double points on fuel purchases.

   

  Next Weekend Gas Watch: Friday, July 13, 2018

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AAA provides automotive, travel and insurance services to 57 million members nationwide and more than 937,000 members in Maryland.  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 AAA.com.