Gas prices in West Central Kentucky dropped by about 2 cents this week to $2.267 per gallon, according to AAA East Central’s Gas Price Report.
On the national front
Today’s national average price for a gallon of regular unleaded gasoline is $2.42, which is an increase of 13 cents over last month and 29 cents more than this time last year. As national gas prices continue to reach new heights and hit an all-time high for the year, the summer demand has not kicked in, meaning consumers can expect the price at the pump to continue to rise in coming weeks. Based on recent American Petroleum Institute reports, U.S. gasoline deliveries in March were the second highest March deliveries ever recorded, confirming the forecast that demand is on track for the summer.
Drivers in the Great Lakes and Central States regions have seen increases in some parts and stable prices in others. The latest Energy Information Administration report shows that the region’s refiners raised capacity by 23,000 b/d last week, while gasoline stocks in the region dropped by 1.5 million bbl to 56 million bbl. The decline resulted in the lowest posted inventory numbers for the region in nearly three months.
At the close of trading last week, West Texas Intermediate (WTI) crude oil futures fell $1.09 to settle just under $50 per barrel. One of the leading reasons for the drop was skepticism about whether the Organization of the Petroleum Exporting Countries (OPEC) and other producers would extend their pledge to cut output by 1.8 million bbl by another six months. In particular, the market is still unsure if Russia will agree to an extension deal beyond June 30, which could add dramatically to already bloated global inventories.
On Monday morning, U.S. petroleum futures were trading higher across the board, with WTI recovering after costly losses last week. This rebound follows last week’s EIA report that showed gasoline inventory building across the country, which can be attributed to higher import levels and blending activity. While spring stock-building is a normal trend to account for the peak summer demand, the counter-seasonal build is likely pressuring markets and increasing pump prices.
This week’s average prices: Western Central KY Average $2.267
Average price during the week of April 17, 2017 $2.284
Average price during the week of April 25, 2016 $2.089
The following is a list of the average price of unleaded self-serve gasoline in various areas:
$2.230 Bowling Green
$2.166 Elizabethtown
$2.517 Louisville
$2.227 Owensboro
$2.195 Paducah
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 East Central is a not-for-profit association with 81 local offices in Kentucky, New York, Ohio, Pennsylvania and West Virginia serving 2.7 million members.