AAA: TN Gas Prices Up by One Penny

AAA: TN Gas Prices Up by One Penny

Tennessee 10th Least Expensive Market in the Nation

NASHVILLE, Tenn., (June 1, 2020) — The Tennessee gas price average continues to increase slowly and is only a penny higher this week. The Tennessee Gas Price average  is now $1.71 which is 17 cents more than one month ago and nearly 79 cents less than one year ago. 

“Americans are slowly but steadily returning to driving, causing gas prices to increase across the country,” said Megan Cooper, spokesperson, AAA - The Auto Club Group. “The good news is gas is still cheap. Motorists can fill-up for $2/gallon or less at 70% of gas stations across the country.”

Quick Facts

• 76% of Tennessee gas stations have prices below $1.75
• The lowest 10% of pump prices are $1.54 for regular unleaded
• The highest 10% of pump prices are $2.05 for regular unleaded
• Tennessee is the 10th least expensive market in the nation

National Gas Prices

The national gas price average is $1.97, just one penny more expensive than last week. Part of the incremental jump can be attributed to increases in gasoline demand, which saw a 7% week-over-week increase. However, demand is still down nearly 25% compared to last year, according to the Energy Information Administration’s (EIA) latest reports.

Today’s national average is 20 cents more than a month ago, but 85 cents less than a year ago.

National Oil Market Dynamics

At the end of Friday’s formal trading session, WTI increased by $1.78 to settle at $35.49 per barrel. At the end of last week, crude prices spiked amid increased market optimism that demand for crude oil and refined products from it, including gasoline, may be rebounding. For this week, crude prices may continue to rise if the market believes that the 9.7 million b/d production reduction agreement for May and June 2020 between the Organization of the Petroleum Exporting Countries and other major crude exporters, including Russia, is helping to rebalance the global oil market as demand remains low due to COVID-19. 

Tennessee Regional Prices

• Most expensive metro markets –  Nashville ($1.78), Jackson ($1.74), Memphis ($1.71)
• Least expensive metro markets – Cleveland ($1.63), Kingsport ($1.64), Clarksville ($1.64)

Tennessee Gas Price Averages

(Price per gallon of regular unleaded gasoline)