National Average Jumps Up as Oil Hits Multi-Month High

The nation’s average price of gasoline has returned to a rise, climbing 6.5 cents compared to a week ago, and stands at $3.09 per gallon, according to GasBuddy® data compiled from more than 12 million individual price reports covering over 150,000 gas stations across the country. The national average is up 4.5 cents from a month ago and is 1.8 cents per gallon higher than a year ago. The national average price of diesel has increased 8.1 cents in the last week and stands at $3.606 per gallon.

"It was only a matter of time before the national average began to rise, with oil prices last week reaching their highest level since July. Diesel prices have also jumped, driven by cold weather that has boosted heating oil demand," said Patrick De Haan, head of petroleum analysis at GasBuddy. "In addition, with President Trump's inauguration, there could be price impacts depending on the executive orders he is preparing to sign. We'll be closely monitoring potential impacts from any orders, while the threat of tariffs and possible retribution from Canada remain top of mind. However, the current increase is not yet the traditional seasonal rise, which is also likely to push prices higher and could begin in a few weeks."

Oil prices pulled back after briefly reaching $80 last week, initially rising on optimism around China's economic recovery, which continued to support demand expectations. This upward momentum was reinforced by reports of declining crude exports from major producers, including Russia and Saudi Arabia, tightening global supplies. However, prices eased later in the week following bearish economic data from the U.S., raising concerns about potential demand weakness. Despite these fluctuations, the market remains focused on geopolitical risks and OPEC+ production strategies. In early Monday holiday trade, WTI crude oil fell $1.23 to $76.65 per barrel, down from last Monday’s $78.04 per barrel start. Brent crude also declined, dropping $1.03 to $79.76 per barrel, compared to last week’s $80.93 opening. The combination of supply constraints and economic uncertainty is likely to sustain volatility in the weeks ahead, especially with President Trump expected to sign several executive orders that could impact energy markets.

OIL AND REFINED PRODUCTS
Last week’s report from the EIA showed a 2 million barrel decline in oil inventories, which are 4% below their year ago level, while the SPR rose 500,000 barrels, 11% higher than the year ago level. Domestic crude production fell slightly to 13.481 million barrels per day. Gasoline inventories jumped nearly 6 million barrels, but remained 2% below a year ago, while distillate inventories jumped 3.1 million barrels, but also remain 2% below a year ago. Implied gasoline demand, EIA's proxy for retail demand, fell 156,000bpd to 8.325 million barrels, while refinery utilization fell 1.6 percentage points to 91.7%.

GAS PRICE TRENDS
The most common U.S. gas price encountered by motorists stood at $3.19 per gallon, up 20 cents from last week, followed by $2.99, $2.89, $2.79, and $3.09 rounding out the top five most common prices.

The median U.S. gas price is $2.99 per gallon, up 5 cents from last week and about 10 cents lower than the national average.

The top 10% of stations in the country average $4.18 per gallon, while the bottom 10% average $2.57 per gallon.

The states with the lowest average prices: Mississippi ($2.64), Texas ($2.66), Oklahoma ($2.67).

The states with the highest average prices: Hawaii ($4.49), California ($4.38), and Washington ($3.85).

Biggest weekly changes: Maryland (+21.6¢), Delaware (+18.3¢), Oklahoma (+14.4¢), Kansas (+13.5¢), Indiana (+12.4¢)

DIESEL PRICE TRENDS
The most common U.S. diesel price stood at $3.59 per gallon, up 20 cents from last week, followed by $3.39, $3.49, $3.29, and $3.69, rounding out the top five most common prices.

The median U.S. diesel price is $3.49 per gallon, up 7 cents from last week and about 11 cents lower than the national average.

Diesel prices at the top 10% of stations in the country average $4.41 per gallon, while the bottom 10% average $3.05 per gallon.

The states with the lowest average diesel prices: Oklahoma ($3.11), Colorado ($3.18), and Arkansas ($3.22).

The states with the highest average diesel prices: Hawaii ($5.30), California ($4.91), and Washington ($4.29).

Biggest weekly changes: Maryland (+22.7¢), Delaware (+17.2¢), Virginia (+16.8¢), Arizona (+16.4¢), Nebraska (+15.9¢).