Tennessee gas prices held steady over last week with yesterday’s state average coming in at the same price as one week ago. The average is now $2.88 which is only a penny more expensive than one month ago and $1.00 more than one year ago.

Officials say 94% of Tennessee gas stations have prices below $2.75. The lowest 10% of pump prices are $2.56 for regular unleaded. The highest 10% of pump prices are $3.12 for regular unleaded.

At $70/bbl (barrel of oil), crude oil has increased to its highest price since October 2018 and is now $23/bbl more expensive than it was this past January. Crude prices have steadily climbed this year along with optimism for the COVID-19 vaccine and the promising impact it will have for global gasoline demand.

Market analyst are keeping a close eye on global supply and demand levels. They are especially eager to see if the Organization of the Petroleum Exporting Countries (OPEC), and its allies including Russia, follow through with production increases next month. This move could help put downward pressure on crude prices and, in turn, push gas prices less expensive. However, motorists likely would not see any impact at the pump until mid-to-late July.

Yesterday’s national gas price average is $3.08, which is three cents more on the week, a nickel more on the month and 98 cents more on the year. The latest increases at the pump are attributed to the steady climb in crude prices, especially as demand decreased and supply increased, according to the latest Energy Information Administration (EIA) data.

Tennessee Regional Prices

Most expensive metro markets –  Johnson City ($2.93), Memphis ($2.90), Nashville ($2.89)

Least expensive metro markets – Chattanooga ($2.79), Cleveland ($2.83), Clarksville ($2.85)