AAA: Gasoline Demand Drops to Lowest Level in Four Months Keeping Pump Prices Low

Published Tuesday, October 27, 2020 at 11:03 am

Gasoline demand has dropped significantly since the beginning of the month, causing averages to steadily decline and keeping pump prices in the Carolinas fairly low.

“Because of lower demand, the United States has a healthy level of gasoline stocks,” said Tiffany Wright, spokesperson, AAA – The Auto Club Group in the Carolinas. “This is what’s keeping pump prices low right now.”

On the week, North Carolina’s $1.98 average made the nation’s top 10 largest weekly changes with a three cent decline. This is seven cents less than a month ago and 41 cents cheaper than last year. South Carolina’s $1.88 average made the nation’s top 10 least expensive markets, also seeing a three cent decline. This is six cents less than a month ago and 40 cents cheaper than last year.

Today’s national average is $2.16, the same price as last week, two cents less than last month and 44 cents cheaper than last year. This summer brought an increase in demand compared to spring, but with COVID-19 cases increasing, activity at the pump is declining with both fill-ups and prices.

Domestic crude prices decreased in light of market concern about increasing COVID-19 infections worldwide, which could lower crude demand. The decrease in price occurred despite the Energy Information Administration’s weekly report showing that total domestic crude inventories dropped by 1 million bbl to 488.1 million bbl. If demand concerns continue this week, crude prices could decrease further.

For updated state and metro prices log on to https://gasprices.aaa.com/

 

 

 

 

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