Tennessee moves to 10th least expensive market in nation for FUEL

Apr 17, 2023 at 11:44 pm by WGNS News

Tennessee gas prices continue to rise for the fourth straight week. Pump prices across the state rose eight cents, on average, over last week. The Tennessee Gas Price average is now $3.38 which is 26 cents more expensive than one month ago but 46 cents less than one year ago.  

"Higher crude oil prices are continuing to impact the prices that we see at the pump, " said Megan Cooper, spokeswoman, AAA - The Auto Club Group. "The U.S. price of crude only rose 2% last week, but it was enough to reach a new 2023 high of $83.26 per barrel. Given this increase, it's likely that Tennesseans will continue to see pump prices fluctuate higher again this week."


Quick Facts 

  • 18% of Tennessee gas stations have prices below $3.25
  • The lowest 10% of pump prices are $3.13 for regular unleaded 
  • The highest 10% of pump prices are $3.69 for regular unleaded
  • Tennessee is the 10th least expensive market in the nation 

National Gas Prices - The national average for a gallon of regular gasoline rose seven cents since last week to hit $3.67. The main culprit is the high cost of oil, gasoline’s main ingredient, which is hovering in the low $80s per barrel. The national average has risen daily since March 29. 

According to new data from the Energy Information Administration (EIA), gas demand decreased from 9.3 to 8.94 million b/d last week. Meanwhile, total domestic gasoline stocks dropped slightly by 400,000 bbl to 222.2 million bbl. Lower demand would typically push pump prices down; instead, elevated oil prices have pushed them higher. If oil prices continue to rise, pump prices will follow suit.

Today’s national average of $3.67 is 22 cents more than a month ago but 41 cents less than a year ago.

National Oil Market Dynamics - At the close of Wednesday’s formal trading session, WTI increased by $1.73 to settle at $83.26. Oil prices increased late last week after the U.S. Labor Department said the U.S. Consumer Price Index rose 0.1% in March, a lower rise than the market expected. Additionally, the EIA reported that total domestic commercial crude inventories increased by 500,000 bbl to 470.5 million bbl last week.

Tennessee Regional Prices 

  • Most expensive metro markets - Cleveland ($3.50), Nashville ($3.49), Clarksville ($3.49)
  • Least expensive metro markets - Knoxville ($3.29), Kingsport ($3.30), Memphis ($3.31) 

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