Press release from Automobile Club of America:
Today’s national average price for a gallon of gasoline is $4.19, down 6 cents change from last week. One year ago, the price was $2.87. The New York State average is 4.29, down 6 cents from last week. A year ago, the NYS average was $2.90. AAA Western and Central New York (AAA WCNY) reports the following averages:
- Batavia - $4.32 (down 4 cents from last week)
- Buffalo - $4.33 (down 3 cents from last week)
- Elmira - $4.21 (down 4 cents from last week)
- Ithaca - $4.25 (down 7 cents from last week)
- Rochester - $4.35 (down 3 cents from last week)
- Rome - $4.26 (down 2 cents from last week)
- Syracuse - $4.28 (down 3 cents from last week)
- Watertown - $4.32 (down 3 cents from last week)
In the past week, the national average for a gallon of regular gasoline has decreased by six cents. According to data from the Energy Information Administration (EIA), total domestic gasoline stocks increased while gasoline demand decreased from 8.63 million barrels per day to 8.5 million. The drop in gas demand, alongside growth in total stocks, contributes to price decreases. If demand continues to decline as gasoline stocks continue to build, the national average will likely continue to move lower.
This morning, oil prices are hovering right around the $100 per barrel mark. They dropped after news that the U.S. will release one million barrels of oil per day from the Strategic Petroleum Reserve. While the pump price impact will be determined by the exact amount of oil purchased in the market and the duration of the daily releases, some reports have noted that releases could last for up to 180 days. If the releases occurred for that long, the market would likely see downward pressure on oil prices. However, the global oil market remains highly volatile, so additional news that threatens supply could put upward pressure on oil prices.
From Gas Buddy:
“Oil prices fell last week as Covid cases in China surged, prompting restrictions on movements and hurting oil demand. Meanwhile, President Biden's announcement that the U.S. would be releasing 180 million barrels from the Strategic Petroleum Reserve caused an even further decline in oil, leading gas prices in nearly all areas of the country to fall over the last week," said Patrick De Haan, head of petroleum analysis at GasBuddy. "So long as oil prices remain under $100 per barrel and there is no escalations in Russia's war on Ukraine, we may be poised to see gas prices decline again this week as the U.S. and other countries try to raise oil supply to tip prices lower."
