Cheapest Labor Day gas prices in 16 years for Tennessee

08 September 2020

AAA: Tennessee Gas Price Average Drops Two Cents

Cheapest Labor Day gas prices in 16 years for Tennessee

 

 

NASHVILLE, Tenn., (September 8, 2020) — After an increase in prices at the pump ahead of Hurricane Laura, Tennessee gas prices are now trending lower. Today’s state average is two cents cheaper than last week. The Tennessee Gas Price average is now $1.97 which is seven cents more than one month ago and 30 cents less than one year ago. 

Over the Labor Day weekend, Tennessee motorists paid an average of $1.97 per gallon - that’s 30 cents less than last year’s holiday gas prices and the cheapest Labor Day gas prices in 16 years. 

“Tennessee motorists saw the cheapest Labor Day at the gas pump since 2004,” said Megan Cooper, spokesperson, AAA - The Auto Club Group. “Traditionally, Labor Day marks the last big travel weekend of the summer. Moving into fall, we historically see a drop in demand and further savings at the pump. With demand already unseasonably low this summer due to the pandemic, pump prices should remain low.”

 

Quick Facts

  • 86% of Tennessee gas stations have prices below $2.00
  • The lowest 10% of pump prices are $1.79 for regular unleaded
  • The highest 10% of pump prices are $2.28 for regular unleaded
  • Tennessee shifted to the 9th least expensive market in the nation

National Gas Prices

Motorists saw plenty of savings at the pump from Memorial Day through Labor Day. The national gas price average during the unofficial start and stop to summer was $2.15 - the cheapest since 2004. Demand was decimated this summer, which ultimately meant increased supply and cheap gas prices. That trend continues. In its latest report, the Energy Information Administration (EIA) reported that demand dropped from 9.16 million b/d to 8.79 b/d. While gasoline stocks dropped by 4.3 million bbl to 234.9 million bbl, total supply is 5.2 million bbl more than this time last year.

At $2.21, today’s average is two cents less than last week, one penny more than last month and 35 cents cheaper than a year ago.

National Oil Market Dynamics

At the end of Friday’s formal trading session, WTI decreased by $1.60 to settle at $39.77 per barrel. The price of crude decreased in reaction to a decline in the stock market at the end of last week. The price decreased despite EIA’s weekly report revealing that total domestic crude inventories dropped by 9.4 million bbl, lowering total domestic stocks to 498.4 million bbl. For this week, crude prices could decline further if crude demand concerns arise amid another stock market downturn. 

Tennessee Regional Prices

  • Most expensive metro markets –  Nashville ($2.00), Memphis ($1.99), Morristown ($1.99)
  • Least expensive metro markets – Cleveland ($1.88), Chattanooga ($1.91), Clarksville ($1.93)

Tennessee Gas Price Averages

(Price per gallon of regular unleaded gasoline)

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Tuesday

Monday

Week Ago

Month Ago

One Year Ago

Tennessee

$1.969

$1.970

$1.991

$1.900

$2.260

Chattanooga

$1.914

$1.914

$1.954

$1.850

$2.151

Knoxville

$1.957

$1.960

$1.976

$1.834

$2.199

Memphis

$1.993

$1.990

$1.996

$1.956

$2.280

Nashville

$2.006

$2.005

$2.045

$1.944

$2.346

Click here to view current gasoline price averages

 

About AAA - The Auto Club Group
The Auto Club Group (ACG) is the second largest AAA club in North America with more than 14 million members across 14 U.S. states, the province of Quebec and two U.S. territories. ACG and its affiliates provide members with roadside assistance, insurance products, banking and financial services, travel offerings and more. ACG belongs to the national AAA federation with more than 60 million members in the United States and Canada. AAA’s mission is to protect and advance freedom of mobility and improve traffic safety. For more information, get the AAA Mobile app, visit AAA.com, and follow us on Facebook, Twitter and LinkedIn.