Gas prices in Northeast Ohio dropped by seven cents this week to $2.227 per gallon, according to AAA East Central’s Gas Price Report.
Following four straight weeks of draws, gasoline inventory is on the rise in the Great Lakes and Central States. According to the EIA, inventory in the region had its biggest one-week increase since the end of January. Sitting at nearly 55 million barrels, inventory is almost 2 million barrels higher than this time last year.
The high inventory is leading to dropping gas prices both on the week and compared to one year ago today. This week, all states are seeing on average a four-cent decrease. Compared to one year ago, six states are seeing significantly cheaper gas, including Ohio (-46 cents). As inventory grows and demand remains inconsistent, the cheaper gas prices are likely to hold throughout summer in the region.
This week’s average prices: Northeast Ohio Average: $2.227
Average price during the week of June 5, 2017: $2.295
Average price during the week of June 13, 2016: $2.449
Average prices of the unleaded self-service gasoline in various areas:
$2.328 New Philadelphia
On the National Front
At $2.34, the national gas price is cheaper today than it was on this day one year ago. The same trend rings true at the pump in 27 states in the Southeast and Midwest – many seeing double-digit price drops. More so, in 46 states consumers are paying, on average, three cents less at the pump than a week ago.
The national price drop is due to an unexpected buildup of crude oil last week combined with ongoing high gasoline production, an increase in gasoline stocks, and fluctuations in demand. This continuing trend could result in price drops into July and August as the summer driving season zooms ahead. However, it is not likely that gas prices will drop much lower than this week’s prices.
The oil market appears to be off to a good start this week, with the price per barrel above $46. The increase comes after last week’s report from the EIA showed surprising numbers in gasoline demand and crude inventories. After setting a record for use during the run-up to Memorial Day weekend, demand decreased significantly. Market watchers expected to see a post-Memorial Day slump; however, the market was surprised by a strong build in crude inventories. The continued glut in crude inventories is resulting in high production rates, putting downward pressure on prices per barrel.
Motorists can find current gas prices along their route with the free AAA Mobile app for iPhone, iPad and Android. The app can also be used to map a route, find discounts, book a hotel and access AAA roadside assistance. Learn more at AAA.com/mobile.
AAA East Central is a not-for-profit association with 81 local offices in Kentucky, New York, Ohio, Pennsylvania and West Virginia serving 2.7 million members. Past news releases are available at news.eastcentral.aaa.com. Follow us on Twitter and Facebook.
For More Information, Contact:
Jim Garrity, Public & Community Relations Manager
Desk: 412-365-7274 / Cell: 412-905-9021 / Email: Garrity.James@aaaec.com