Gas Prices on the Decline Ahead of Summer
The national average price for a gallon of regular unleaded gasoline has witnessed a significant decline of late, offering some much-needed relief to drivers across the United States. This downward trend is largely attributed to decreased gasoline demand, increased supply, and falling oil costs, according to the American Automobile Association (AAA).
In particular, the Midwest has experienced the most substantial drop in gas prices over the past week, with an average decline of 11 cents per gallon. Meanwhile, states like Mississippi, Arkansas, Oklahoma, Texas, and Kansas have seen their averages dip below per gallon, providing an early summer bargain for travelers.
This decrease in gas prices has been observed despite OPEC’s decision to prolong oil production cuts through 2025. The Energy Information Administration (EIA) reported a decrease in gas demand, which fell from 9.14 million barrels per day to 8.94 million barrels per day. At the same time, total domestic gasoline stocks rose from 228.8 million barrels to 230.9 million barrels.
This trend is expected to bring substantial relief to consumers as summer travel begins to pick up. However, caution has been sounded regarding the potential impact of hurricane season, which could temporarily push prices higher if it affects key oil production centers.
Interestingly, California continues to have the highest average gas price at .98 per gallon, followed closely by other West Coast states like Washington, Oregon, and Hawaii.
Regional Variations
- The Midwest region saw an average gas price drop of 11 cents per gallon, marking the highest decline in the country.
- New England experienced the smallest decrease at four cents per gallon.
- The top 10 states with the lowest average gas prices include Mississippi, Arkansas, Oklahoma, Texas, Kansas, Louisiana, Tennessee, Missouri, South Carolina, and Alabama.
The continued decline in gas prices has been welcomed by consumers, particularly ahead of the peak summer travel season. However, concerns still linger regarding the potential for price surges as hurricane season approaches.
