Gas Below $2.75 across 65% of the country
LEXINGTON, Ky. — Gas prices across the nation continued to trend downward over the past week, including in Kentucky. The Commonwealth saw prices at the pump drop another 9 cents, earning it the number 7 spot on the leaderboard for largest drops in gas price on the week.
Kentucky’s current average gas price for regular unleaded sits at $2.54, which is about 22 cents less than prices seen at this time in 2018 and 9 cents less than on the same day last month.
Prices down across the country
On the week, the average national gas price dropped to $2.71. This is less expensive than a week (-2 cents), a month (-4 cent) and a year (-15 cents) ago. Prices are cheaper as demand saw a small dip on the week, even though overall demand remains robust for the summer.
“While gas prices continue to drop, the rate at which they are decreasing has slowed in many areas,” said Lori Weaver Hawkins, public and governmental affairs manager, AAA Blue Grass. “On the week, most states saw cheaper pump prices of only a few pennies and motorists can expect this trend to continue into early August.”
Today, motorists can find gas for $2.75 or less at 65 percent of gas stations across the country.
Prices continue downward across much of the Bluegrass
The latest gas price information shows Versailles and Richmond both saw prices drop 8 cents to land at $2.40 and $2.53, respectively. Winchester has dropped 9 cents to $2.45, Nicholasville is down 6 cents to $2.46 and Frankfort saw a 4-cent drop on the week to land at $2.52. Lexington dropped a penny to $2.46 and Georgetown held steady at $2.48.
Central U.S. has some of largest drops nationwide
Ohio (+4 cents) and Indiana (+1 cent) were two of only five states in the country to see gas prices increase on the week. All other states in the Great Lakes and Central states region saw prices decrease on the week with Michigan (-10 cents) and Illinois (-9 cents) seeing the largest declines in the region and the country.
Pump prices are also trending cheaper compared to one month ago, with motorists in Michigan (-14 cents) seeing the largest monthly decrease in the region. Other Great Lakes and Central states with large month-over-month changes: Illinois (-13 cents), Kentucky (+9 cents) and Indiana (-6 cents). North Dakota (+6 cents) is this only state in the region with more expensive gas prices compared to a month ago.
For a second week, gasoline inventories dipped, and the draw was substantial at nearly one million barrels. The EIA also reports regional utilization declined from 99 percent to 95 percent. While pump prices pushed cheaper on the week, the lower stock and utilization levels could yield some price fluctuation in the week ahead.
The nation’s top 10 largest monthly decreases are: Florida (-17 cents), Alaska (-17 cents), Michigan (-14 cents), Illinois (-13 cents), Delaware (-12 cents), California (-10 cents), Kentucky (-9 cents), Arizona (-9 cents), Colorado (-9 cents) and Idaho (-9 cents).
The nation’s top 10 least expensive markets are: Louisiana ($2.33), Mississippi ($2.33), Alabama ($2.35), Arkansas ($2.37), South Carolina ($2.37), Oklahoma ($2.41), Tennessee ($2.43), Texas ($2.44), Missouri ($2.45) and Kansas ($2.46).
Trade tensions could impact crude prices
At the close of Friday’s formal trading session on the NYMEX, WTI increased by $1.71 to settle at $55.66. Crude prices mostly decreased last week after President Trump announced new tariffs on imports from China, furthering a trade war between the world’s two largest economies and oil consumers. Market observers are concerned that increasing tariff costs will likely reduce global demand for crude oil. If the trade tensions between the countries continue to increase this week, crude prices will likely decline further.
Motorists can use AAA Mobile app for current gas prices
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.
AAA provides automotive, travel and insurance services to 57 million members nationwide and more than 600,000 members in Kentucky. 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.