LEXINGTON, Ky. — It’s spring and the nation’s demand for gasoline is starting to reflect a more normal seasonal pattern. At 9.1 million barrels per day, U.S. gasoline demand recorded its second highest measurement since mid-March 2020, an indication that motorists are filling up more often. This latest demand reading is the highest spring number released by the Energy Information Administration (EIA) in two years. In fact, it is only about 3% below the same week in 2019.
Both demand and supply have steadily increased in the past five weeks, but weekly gasoline supply builds are trending less substantially. On the week, supply only saw a 100,000-barrel build to 234.9 million barrels, most likely due to high consumer demand.
“The jump in demand to 9.1 million barrels per day combined with the small increase in supply pushed the national gas price average two cents more expensive on the week to $2.88,” said Lori Weaver Hawkins, public and government affairs manager, AAA Blue Grass. “In Kentucky, however, we actually saw prices drop two cents on average compared with last week. This follows weeks of an upward trend.”
Cheaper crude oil prices―which are mostly pricing at less than $63/barrel―coupled with stable and strong refinery utilization (85%) are contributing factors keeping pump price jumps incremental. On the week, 35 state averages increased, but the majority saw only one to three cent jumps. That was not the story in Kentucky.
Gas prices take a dive across the Bluegrass
The average gas prices is 2 cents lower than one week ago, while other areas around the Bluegrass saw prices fall by well over a nickel.
Today’s average of $2.71 in Kentucky is 2 cents lower than last week and just one cent more than a month ago. Today’s average price in Kentucky is now $1.27 higher than the commonwealth’s average of $1.44 seen a year ago.
Average gas prices were down across the Bluegrass this week, some as much as a dime a gallon.
In Lexington, the average price is down a full 7 cents from last week to land at $2.73. That’s 4 cents less than a month ago.
Surrounding communities saw gas prices fall as well, without exception. In Nicholasville, the average price fell 8 cents, now at $2.63. Georgetown is down 3 cents, now averaging $2.79. Versailles is down 10 cents to land at $2.70, while Winchester is down 4 cents settling at $2.76. Richmond is down 5 cents, landing at $2.79.
Ashland was the low spot in the Bluegrass this week, averaging $2.59.
- The nation’s top 10 largest weekly increases: Ohio (+12 cents), Delaware (+8 cents), Kansas (+5 cents), Nevada (+5 cents), Maryland (+4 cents), New Jersey (+4 cents), Montana (+4 cents), Idaho (+4 cents), Washington (+4 cents) and Michigan (+4 cents).
- The nation’s top 10 least expensive markets: Mississippi ($2.56), Texas ($2.58), South Carolina ($2.59), Louisiana ($2.60), North Carolina ($2.62), Alabama ($2.63), Oklahoma ($2.65), Missouri ($2.66), Arkansas ($2.68) and Tennessee ($2.68).