Posts Tagged ‘AAA Travel’

Drivers Will Welcome a New Year and Higher Gas Prices

December 26th, 2016 by Jessica Souto

Tamra Johnson

Retail averages have increased 28 of the past 30 days and prices have moved higher by fractions of a penny since Friday. The national average for regular unleaded gasoline currently sits at $2.29 per gallon, which is five cents more than one week ago, 16 cents more than one month ago and 29 cents more year-over-year.

2013-2016_Avg Gas Prices_12-26-16-01

Heading into 2017, gasoline demand is expected to drop drastically during the month of January following the busy holiday travel season. Over the past five years, the average drop during that period has been 358,000 b/d or about 15-million gallons, according to OPIS. The oil information service estimates a larger dip this year.

AAA estimates U.S. drivers have saved about $27 billion at the pump so far this year compared to the same period last year. Today’s national average price for a gallon of gasoline is $2.29, 29 cents more than the average price on New Year’s Day in 2016 ($2.00). Most U.S. drivers are expected to pay the second-cheapest New Year’s Day gas prices since 2009, when the national average was $1.62.

To start off the new year, all eyes will be on OPEC to see if they, along with partnering countries, will stick to their 6-month promise to cut 1.8-million b/d of crude. OPIS projects that member compliance will likely be around about 70 percent, with expectations that Saudi Arabia, Kuwait, the United Arab Emirates and other Arab Gulf countries will stick to the deal while Libya and Nigeria could potentially increase their production output if conflict in both countries continues.

Quick Stats

  • The nation’s top five least expensive markets are: South Carolina ($2.04), Mississippi ($2.07), Texas ($2.07), Arkansas ($2.07) and Alabama ($2.08).
  • The biggest weekly price increases are reflected in Michigan (+14 cents), Illinois (+13 cents), Wisconsin (+12 cents), Ohio (+10 cents) and Minnesota (+10 cents).

Top10 Highest Average Gas Prices_12-26-16-01

West Coast

The West Coast leads the nation with four of the top five most expensive states located in the region: Hawaii ($2.97), California ($2.70), Alaska ($2.62) and Washington ($2.62). According to the latest EIA report, West Coast gasoline supplies declined 800,000 bbl to 29.2 million bbl for the week ending Dec. 16.  These draws were the result of a few regional refinery issues, strong demand and recent exports out of the region to Mexico and Guatemala. OPIS reports that the delayed restart of Chevron’s 257,200-b/d Richmond, Calif., refinery following planned autumn maintenance was likely a contributor to the drop in supplies. Maintenance at the refinery was originally scheduled to end in November, but was delayed in to the early part of December. Oil prices along with a drop in supplies and increase in demand over the busy holiday travel period are likely to result in rising prices at the pump.

Rockies

Gas prices for drivers in the Rocky Mountain region have been a mixed bag of increases and decreases over the past week. There are four states in the region that are among the top-15 cheapest markets in the country this week: Arizona ($2.10), Utah ($2.12), Wyoming ($2.14) and Colorado ($2.16).

Top10 Largest Increases Gas Prices 12-26-16-01

Great Lakes and Central States

The Great Lakes region often sees dramatic fluctuations in pump prices as regional refinery and distribution issues have regularly sent prices sharply higher. The past week has been no different with five states in the region topping the list of the largest weekly increases: Michigan (+14 cents), Illinois (+13 cents), Wisconsin (+12 cents), Ohio (+10 cents) and Minnesota (+10 cents). While increases in Central States have not been as pronounced, they are still substantial, with North Dakota (+9 cents), Iowa (+8 cents), Kansas (+7 cents), Nebraska (+6 cents) and South Dakota (+5 cents) all ranking in the top-15.

Last week BP shut down a 70,000-b/d reformer unit at its 430,000-b/d Whiting, Ind., refinery, according to reports from OPIS. The outage was only expected to last a few days but will have impact on supplies in the region. The refinery is the largest in the region and any production outages typically result in increases at the pump.

Mid-Atlantic and Northeast

The Mid-Atlantic and Northeast have also seen price increases over the past week, although they are less than those in the Great Lakes and Central region. Washington D.C. ($2.55), New York ($2.47), Pennsylvania ($2.47) and Connecticut ($2.41) all land on the list of top-10 most expensive markets. The latest report from the EIA shows that East Coast gasoline inventories dropped by 1.1 million bbl last week to 62 million bbl on hand. Although the region remains amply supplied, record breaking travel numbers during the holiday season will likely continue to pressure prices at the pump higher.

South and Southeast

Most drivers in the South and Southeast regions continue to enjoy some of the cheapest prices in the nation due to their proximity to major Gulf Coast refineries and some of the lowest state gasoline taxes in the country. Five states in the region rank in the top-ten lowest prices nationwide: South Carolina ($2.04), Mississippi ($2.07), Texas ($2.07), Arkansas ($2.07) and Alabama ($2.08).

Oil Market Dynamics

Last month, the Organization of Petroleum Exporting Counties (OPEC) along with non-cartel countries worked out an agreement to limit crude oil production by 1.8 million barrels per day beginning in January 2017. Efforts to curb oil production are aimed at rebalancing the oil supply and as a result, markets have reacted, causing retail prices to increase. Last week, Libya announced the re-opening of pipelines from two major oil fields which has led many to speculate that increased production in Libya may counter OPEC’s anticipated cuts. Traders will pay close attention to Libya’s efforts and monitor OPEC’s ability to implement production cuts starting in January. At the close of Friday’s formal trading session on the NYMEX, WTI was up seven cents to settle at $53.02 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.

Gas Prices Climb to Highest Price Since October

December 19th, 2016 by Jessica Souto

Tamra Johnson

National pump prices have risen for 20 of the past 21 days, rising a total of 11 cents during this span. The national average price for regular unleaded gasoline sits at $2.24 per gallon, which is the highest mark since October. Today’s average is three cents more than one week ago, nine cents more compared to one month ago and 24 cents more than the same date last year. Prices continue to rise due to market expectations of tighter availability following the announcement of an OPEC deal to cut oil production that is scheduled to start in January 2017.

2013-2016_Avg Gas Prices_12-19-16-01

Quick Stats

  • The nation’s top five least expensive markets are: Arkansas ($2.02), Oklahoma ($2.02), South Carolina ($2.03), Missouri ($2.04) and Texas ($2.05).
  • The nation’s top five most expensive markets are: Hawaii ($2.95), California ($2.67), Alaska ($2.62), Washington ($2.59) and the District of Columbia ($2.54).

West Coast

Drivers on the West Coast continue to pay some of the most expensive prices in the nation, this includes market-leader Hawaii ($2.95), where prices continue to inch back toward the $3 per gallon benchmark. Despite these high prices, drivers in many of these same states are enjoying some of the most dramatic month-over-month declines in the country. Idaho (-18 cents) has the highest monthly discount, while Nevada (-8 cents), Oregon (-5 cents), Arizona (-5 cents), Washington (-5 cents), California (-4 cents) all register in the top ten.

According to recent reports from the U.S. EIA, gasoline production on the West Coast reached a one month high of nearly 1.6 million b/d and gasoline inventories remain at a 15-week high of 29.2 bbl, which was nearly 2 million bbl higher than the same time last year.

A shutdown on the Olympic Pipeline system in the Pacific Northwest temporarily cut into deliveries last week, according to reports from OPIS. BP shutdown the Olympic Pipeline on Monday, December 12 to conduct planned maintenance on the system which distributes refined product throughout Washington state and Oregon. The pipeline was reopened on Thursday, December 15.

Rockies

Pump prices on the week in the Rocky Mountain states were a mixed bag, with Utah (-4 cents) being the only state with a decrease. Despite recent increases in some parts of the region, averages remain below the $2.50 per gallon benchmark.

Mid-Atlantic and Northeast

Week-over-week retail averages increased in the Mid-Atlantic and Northeastern region, moving by +/- 3 cents or less per gallon in most areas. Washington, D.C. ($2.53) is the only area located in this region with an average price above $2.50 per gallon and prices on the whole remain moderate. Consumers in New Jersey (+45 cents), Washington, D.C. (+33 cents), Virginia (+29 cents), Maryland (+27 cents) and Delaware (+27 cents) are all spending 25 cents or more per gallon year-over-year. Eastern gasoline supplies increased by 1.6 million bbl on the week and the market remains well supplied. 

Top10 Lowest Average Gas Prices-12-19-16-01

South and Southeast

South and Southeastern states continue to dominate the rankings of the nation’s least expensive markets for gas, except for Florida where drivers are now paying more than $2.30 per gallon. Arkansas ($2.02) and Oklahoma ($2.02) are the nation’s cheapest markets for retail gasoline. They are followed in the rankings by regional neighbors South Carolina ($2.03), Mississippi ($2.03), Texas ($2.05), Alabama ($2.05), Tennessee ($2.05) and Louisiana ($2.07).

Top10 Largest Increases Gas Prices 12-19-16-01

Midwest and Central States

The Midwest is often the most volatile area in the country for gas prices, and it is not uncommon for prices to move significantly from day to day. At the moment, the average prices in most states are heading up on the week with the exception of Michigan ($2.25) where drivers are paying five cents less. Average prices in other parts of the region have posted among the largest increases in the country over the past week: Indiana (+8 cents), Wisconsin (+7 cents), Ohio (+7 cents) and Illinois (+3 cents).

Missouri ($2.04) and Kansas ($2.05) are ranked in the nation’s top 10 least expensive markets despite significant week-over-week increases: Missouri (+7 cents) and Kansas (+3 cents).

Oil Market Dynamics

Last week, markets continued to react to the OPEC production agreement as Saudi Arabia and Russia made clear their intentions to fully cooperate with the production cut. OPEC and non-OPEC members agreed this month to cut oil production collectively by 1.8 million barrels per day in an effort to rebalance the global oil market. In reaction to the OPEC agreement, U.S. interest in oil production has increased and drillers added 12 new oil rigs in the last week, bringing the total oil-rig count to 510 rigs nationwide, according to Baker Hughes Inc. Traders will continue to watch how OPEC and non-OPEC members move forward with the terms of the agreement and how U.S. oil producers react. At the close of Friday’s formal trading session on the NYMEX, WTI was up $1.00 to settle at $51.90 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.

Julie HallMore than 103 million Americans will travel this holiday season

ORLANDO, Fla. (December 15, 2016) – More than 103 million Americans—the most on record—are expected to travel for the year-end holidays, according to AAA. This represents a 1.5 percent increase, or 1.5 million more people traveling, compared with last year. This comes despite one fewer travel day this holiday season. The year-end holiday travel period is defined as Friday, December 23 to Monday, January 2, 2017.

Additional Resources

The increase in holiday travel this year is being driven by additional consumer spending, a result of improvements in the labor market and rising wages. Additionally, low gas prices and increased consumer optimism will prompt more Americans than ever to set out on road trips, take to the skies, or board trains, buses and cruise ships to celebrate the holidays.

“’Tis the season for holiday travel, and this year more Americans will travel to celebrate the holidays and ring in the New Year than ever before,” said AAA President and CEO Marshall Doney. “Rising incomes and continued low gas prices should make for a joyous holiday travel season.”

Most travelers will drive this holiday season The vast majority of travelers—93.6 million people—will take a holiday road trip, an increase of 1.5 percent over last year. Air travel is expected to increase by 2.5 percent, with more than 6 million Americans flying to their holiday destinations. Travel by other modes of transportation, including cruises, trains and buses, will decrease slightly, to 3.5 million travelers.

New Year’s gas prices second-cheapest in nearly a decade AAA estimates U.S. drivers have saved more than $27 billion at the gas pumps so far this year compared to the same period last year. Today’s national average price for a gallon of gasoline is $2.23, 23 cents more than the average price on New Year’s Day 2016 ($2.00). Most U.S. drivers will pay the second-cheapest New Year’s Day gas prices since 2009, when the national average was $1.62.

Holiday airfares, hotel rates and car rental prices mixed According to AAA’s Leisure Travel Index, holiday airfares are projected to average $204 for a roundtrip flight along the top 40 domestic routes. Rates for AAA Two and Three Diamond Rated lodgings are expected to increase 7 percent, with travelers spending an average of $128 and $160 per night, respectively. Daily car rental rates will average $66, slightly lower than last year’s holiday travel season.

Warm-weather destinations top the list of most popular holiday destinations With the exception of New York City—an-ever popular holiday destination—warm-weather locales in Nevada, Florida and California top the list of most popular destinations for this holiday season, based on AAA.com bookings.

  1. Las Vegas, Nevada
  2. Orlando, Florida
  3. New York City
  4. San Diego, California
  5. Anaheim, California

AAA to rescue more than 980,000 motorists this holiday season AAA expects to rescue more than 980,000 motorists over the 11-day holiday travel period, with the primary reasons being dead batteries, flat tires and lockouts. Drivers should have their vehicles inspected by a trusted repair shop, such as one of the nearly 7,000 AAA Approved Auto Repair facilities across North America. Members can download the AAA Mobile app, visit AAA.com or call 1-800-AAA-HELP to request roadside assistance.

For motorists who may encounter winter weather conditions during their holiday road trips, AAA recommends checking windshield wipers and inspecting tires to ensure safe drivability before setting out. Pack an emergency kit containing a snow shovel, flashlight, ice scraper, jumper cables, warning devices and extra warm clothing for everyone riding in the vehicle. When driving, slow down and do not tailgate. Leave following distances to a minimum of five to six seconds to allow additional braking room should a sudden stop become necessary.

Before hitting the road, drivers should also get plenty of sleep to avoid driving drowsy. Research from the AAA Foundation for Traffic Safety found that drivers who miss just one to two hours of the recommended seven hours of sleep nearly double their risk for a crash. For long trips, drivers should travel at times when normally awake, schedule a break every two hours or every 100 miles, avoid heavy foods, travel with an alert passenger and take turns driving, and avoid medications that cause drowsiness or other impairment.

Download the AAA Mobile app before a holiday getaway Before setting out on a holiday trip, travelers should download the free AAA Mobile app for iPhone, iPad and Android. The app can help map a route, find lowest gas prices, access exclusive member discounts, make travel arrangements, request AAA roadside assistance, find AAA Approved Auto Repair facilities and more. Learn more at AAA.com/mobile.

With the AAA Mobile app, travelers can also find more than 58,000 AAA Approved and Diamond Rated hotels and restaurants. AAA’s is the only rating system that uses full-time, professionally trained evaluators to inspect each property on an annual basis. Every AAA Approved establishment offers the assurance of acceptable cleanliness, comfort and hospitality, and ratings of One to Five Diamonds help travelers find the right match for amenities and services.

About the travel forecast: AAA’s projections are based on economic forecasting and research by IHS Markit. The London-based business information provider teamed with AAA in 2009 to jointly analyze travel trends during major holidays. AAA has been reporting on holiday travel trends for more than two decades. The complete AAA/IHS 2016 year-end holiday travel forecast can be found here.

As North America’s largest motoring and leisure travel organization, AAA provides more than 56 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. Motorists can map a route, identify gas prices, find discounts, book a hotel and access AAA roadside assistance with the AAA Mobile app for iPhone, iPad and Android. Learn more at AAA.com/mobile. AAA clubs can be visited on the Internet at AAA.com.

Gas Prices Rise for 14 Consecutive Days

December 12th, 2016 by Jessica Souto

Tamra Johnson

The national average has increased for 14 days in a row following the OPEC oil production agreement on November 30. Today’s average of $2.21 per gallon is up three cents per gallon on the week and two cents per gallon on the month. The national average is up 20 cents compared to the same date last year.

2013-2016_Avg Gas Prices_12-12-16-01

Last month, OPEC agreed to cut output by 1.2 million barrels per day beginning January 2017 and markets have continued to react to the production cut agreement with crude oil prices hitting an 18 month high. Retail prices have steadily increased following the news of the OPEC agreement, but the effectiveness of the deal and continued market impacts will hinge on all countries implementing the agreed to production levels.

Quick Stats

  • Average gas prices are below $2 per gallon in four states today including: Oklahoma ($1.96), Missouri ($1.97), Arkansas ($1.98) and Texas ($1.99).
  • Largest monthly increases include: Michigan (+23 cents), Indiana (+22 cents), Ohio (+21 cents), Illinois (+15 cents), Kentucky (+13 cents) and Delaware (+12 cents).

The West Coast is one of the only regions in the country to see prices drop on the week with the exception of Hawaii ($2.91), where drivers are now paying seven cents more per gallon. Other U.S. coastal regions have followed the price of crude oil upward over the past week. Drivers in the Northeast, Mid-Atlantic, Great Lakes and Southern regions all saw increases at the pump due to the increase in crude oil prices:

Largest Weekly Increase

  1. Michigan $2.30     (+9 cents)
  2. Indiana $2.21     (+9 cents)
  3. Hawaii $2.91     (+7 cents)
  4. Ohio $2.22 (+6 cents)
  5. Georgia $2.19     (+6 cents)
  6. North Carolina $2.18 (+6 cents)
  7. Kansas $2.03 (+5 cents)
  8. Alabama $2.04 (+5 cents)
  9. Virginia $2.11 (+5 cents)
  10. Illinois $2.27 (+5 cents)

Top10 Largest Increases Gas Prices 12-12-16-01

Great Lakes

Pump prices in the Great Lakes remain volatile and continue to be impacted by increasing oil prices. Although prices are up in every state in the region this week, Michigan ($2.30) is ranked in the nation’s top 15 most expensive markets for retail gasoline. Over the past month, the Midwest region has seen some of the most dramatic monthly price increases compared to other parts of the country: Michigan (+19 cents), Ohio (+18 cents), Indiana (+18 cents) and Illinois (+12 cents). These increases can likely be attributed to increases in global crude oil prices and planned maintenance at BP’s refinery in Whiting, Ind. (the region’s largest facility), which lasted throughout the month of November.

Pump prices in midcontinent states remained relatively stable. Despite recent price increases along the southern coast, the Central and Southern regions remain the cheapest markets for retail gasoline:

Least Expensive Markets

  1. Oklahoma $1.96
  2. Missouri $1.97
  3. Arkansas $1.98
  4. Texas $1.99
  5. Mississippi $2.02
  6. South Carolina $2.03
  7. Kansas $2.03
  8. Alabama $2.04
  9. Colorado $2.04
  10. Tennessee $2.04

Top10 Lowest Average Gas Prices-12-12-16-01

Oil Market Dynamics

Over the weekend, OPEC and non-OPEC producers reached their first deal since 2001 to limit oil output in an effort to reduce global over supply and rebalance the market. Producers from outside the 14-country group agreed to reduce output by 558,000 barrels per day. Of that amount, Russia has agreed to cut 300,000 barrels per day with the remaining non-OPEC members cutting the remaining 258,000 barrels to reach the agreed upon levels. As a result, traders will continue to watch how OPEC and non-OPEC members move forward with the terms of the agreement starting in 2017. At the close of Friday’s formal trading session on the NYMEX, WTI was up 66 cents to settle at $51.50 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.

 

Prices Climb as Market Reacts to OPEC Deal

December 5th, 2016 by Jessica Souto

Tamra Johnson

The national average price of regular unleaded gasoline has increased for seven consecutive days, reaching today’s price of $2.18 per gallon. Today’s average price represents an increase of five cents per gallon compared to one week ago, four cents less than one month ago and 14 cents more than the same date last year.

2013-2016_Avg Gas Prices_12-5-16-01

The Organization of Petroleum Exporting Countries (OPEC) elected to cut its collective production when the group met last Wednesday in Vienna, Austria, in an effort to rebalance the global oil supply and raise prices. Markets reacted quickly to the production agreement with crude oil gaining 12% and leading to increased retail prices. The deal is set to take effect in January 2017.

Traditionally this time of year gives way to lower gas prices as a result of cheaper to produce winter-blend fuel and less demand. However, due to the agreement from OPEC it is still unclear if prices will retreat considerably ahead of the upcoming holidays.

Quick Stats

  • Average gas prices are below $2 per gallon in eight states today including: Arkansas ($1.95), Texas ($1.96), Missouri ($1.97), Oklahoma ($1.97), Kansas ($1.98), Mississippi ($1.98), South Carolina ($1.98) and Alabama ($1.98).
  • The biggest weekly price increases are reflected in Kentucky (+14), Ohio (+14), Michigan (+12), Indiana (+11), Delaware (+11), Illinois (+10), West Virginia (+10), Florida (+9), Maryland (+9) and New Jersey (+9).

Top10 Lowest Average Gas Prices-12-5-16-01

West Coast

States in the region continue to post some of the nation’s highest averages at the pump: Hawaii ($2.85), California ($2.67), Washington ($2.59), Alaska ($2.59) and Oregon ($2.40). Despite high prices, the region is one of the only markets in the country that saw prices drop on the week despite a rise in oil futures following the OPEC announcement last Wednesday. Drivers in Oregon, Washington, Alaska, Hawaii, California and Colorado all saw prices drop by a penny or more.

Rockies

The Rockies are the only other region to see drops this week. Drivers in Utah, Nevada, Wyoming and Montana saw similar discounts as drivers on the West Coast. Prices will potentially more likely move lower heading into the holiday season as demand continues to drop in the region.

Midwest and Central States

Drivers in Ohio (+14 cents), Michigan (+12 cents), Indiana (+11 cents), Illinois (+10 cents) and Missouri (+8 cents) have seen prices jump more than a nickel per gallon on the week, landing all five states on the country’s top-10 list of largest weekly increases. That is despite adequate supply in the region which is likely to get a boost this week. OPIS reports that BP’s 430,000-b/d Whiting refinery in Indiana has completed planned maintenance work and should now be producing at full production rates. A lack of refinery issues in the region has created ample supply which should help pressure pump prices back down in the coming weeks.

Top10 Largest Increases Gas Prices 12-5-16-01

Mid-Atlantic and Northeast

Prices in the Mid-Atlantic and Northeast regions have moved higher over the past week which can likely be attributed to OPEC’s announcement. Increases have been most evident in the Mid-Atlantic, where four states made the list of top-15 largest weekly increases: Delaware (+11 cents), Maryland (+9 cents), New Jersey (+9 cents) and Virginia (+7 cents).

South and Southeast

The Southern region remains home to some of the nation’s lowest average prices for retail gasoline with seven of the nation’s top-10 least-expensive markets: Arkansas ($1.95), Texas ($1.96), Mississippi ($1.98), South Carolina ($1.98), Alabama ($1.99), Tennessee ($2.00) and Louisiana ($2.01). Prices moved higher on the week by a nickel or more in Florida (+9 cents), Tennessee (+6 cents), Texas (+6 cents), Mississippi (+5 cents) and Louisiana (+5 cents) due to a huge rally in the oil market last week that resulted from Wednesday’s OPEC announcement.

Oil Market Dynamics

Following last week’s announcement of OPEC’s production agreement, markets continued to react to the news as oil sold for more than $50 a barrel. This agreement aims to rebalance an oversupplied market and calls for a production cut of 1.2 million barrels per day by the cartel. The organization and non-OPEC members such as Russia are set to meet again in Vienna on December 10 to focus on additional production limits. Russia stated last week that it would participate, but they have failed to follow through on similar agreements in the past. As a result, traders will continue to watch how OPEC members move forward with the terms of the agreement and will keep an eye on Russia and other non-OPEC countries for indications of additional cuts in output. At the close of Friday’s formal trading session on the NYMEX, WTI was up 62 cents to settle at $51.68 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.

 

Tamra Johnson

Drivers this year paid the second lowest gas prices for Thanksgiving since 2008, and the national average has steadily dropped days ahead of Wednesday’s OPEC meeting in Vienna, Austria. During the meeting, OPEC is expected to carve out the details for a production cut which could potentially result in an increase in global oil prices, though the details of the agreement are still unclear. Today’s average price of $2.13 per gallon is down one cent per gallon for the week, seven cents over the last month and is only nine cents more compared to a year ago.

2013-2016_Avg Gas Prices_11-28-16-01

Quick Stats

  • Average gas prices are below $2 per gallon in twelve states today including: Missouri ($1.88), Oklahoma ($1.89), Arkansas ($1.90), Kansas ($1.90), Texas ($1.90), Mississippi ($1.93), South Carolina ($1.94), Alabama ($1.94), Tennessee ($1.94), Louisiana ($1.96), Minnesota ($1.98) and Virginia ($1.98).
  • The West Coast continues to be the most expensive market for gasoline, including the only four states in the nation where drivers are paying more than $2.50 on average: Hawaii ($2.85), California ($2.67), Washington ($2.60) and Alaska ($2.60).

West Coast

Gas prices on the West Coast remain some of the highest in the nation, with six out of ten of the nation’s most expensive retail markets located in this region: Hawaii ($2.85), California ($2.67), Washington ($2.60), Alaska ($2.60) and Oregon ($2.42). That being said, prices in the region continue to decrease ahead of this week’s OPEC meeting.

Top10 Highest Average Gas Price Template_11-28-16-01

Rockies

Pump prices in the Rocky Mountains have remained relatively stable compared to other markets due primarily to the fact that there have been few regional disruptions to production in recent months and their geographic location. Being in the center of the country helps to insulate the region from coastal price swings. Barring unforeseen production issues, prices should continue to drop heading into the end of the year.

Great Lakes and Central States

Pump prices in the Great Lakes region continue to be the most volatile in the nation. This is a product of some refinery issues that have limited production at some facilities. While prices in recent weeks have been a mixed bag of increases and decreases, regional prices over the past week have moved mostly lower: Ohio (-6 cents), Indiana (-5 cents), Michigan (-3 cents), Minnesota (+3 cents) and Wisconsin (+4 cents). The volatility in the region has been pressured by operations at the BP refinery in Whiting, Ind. (the region’s largest facility), which has been undergoing planned maintenance that is set to wrap up at the end of the month.

Prices for drivers in the Central United States remain some of the cheapest in the country. Five states in the region feature in the top-15 lowest: Missouri ($1.88), Oklahoma ($1.89), Arkansas ($1.90), Kansas ($1.90) and Minnesota ($1.98).

Mid-Atlantic and Northeast

Prices in the Mid-Atlantic and Northeast have moved lower over the past week due to high supply and the price of crude oil. Despite the decreases, three states in the region are featured prominently on the list of top-10 most expensive markets in the nation: Washington, D.C. ($2.41), New York ($2.36) and Pennsylvania ($2.35). The latest EIA report shows that East Coast gasoline stocks increased to 59 million bbl which is about 700,000 bbl more than reported this same time last year.

South and Southeast

Drivers across the South and Southeast still make up the bulk of those paying pump prices below $2 per gallon. Despite some recent refinery issues in the region, six states still place in the top-10 cheapest states in the nation: Texas, Mississippi, South Carolina, Alabama, Tennessee and Louisiana. The U.S. Gulf Coast is the largest refining region in the nation, so even with some recently reported problems, the area is less susceptible to price spikes from limited disruptions.

Top10 Lowest Average Gas Prices-11-28-16-01

Oil Market Dynamics

Doubts about the Organization of the Petroleum Exporting Companies’ ability to solidify a deal to cut oil production continued as reports of tension between Saudi Arabia, Iran, Iraq and non-OPEC member countries persisted over the weekend. Saudi Arabia’s oil minister left talks Sunday and mentioned the idea that OPEC members may leave the November 30 meeting in Vienna without a deal causing crude oil market prices to drop. Analysts will await confirmation that the cartel can come to an agreement to reduce production and the terms of each country’s participation. WTI opened last week’s formal trading posting gains but closed out Friday’s formal trading session on the NYMEX down $1.90, settling at $46.06 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.

Tamra JohnsonAAA projects that 43.5 million Americans are expected to take a road trip this Thanksgiving and drivers will pay the second-cheapest Thanksgiving gas prices since 2008, when the national average was $1.85. Today’s national average price of $2.14 per gallon represents a savings of three cents per gallon versus one week ago and nine cents per gallon on the month. Significant yearly savings persist and pump prices are only five cents higher than compared to last year.

2013-2016_Avg Gas Prices_11-21-16-01

Retail averages have fallen steadily since November 6 for a total savings of eight cents per gallon, and drivers in 45 states and the District of Columbia are paying less at the pump week-over-week. The national average is expected to near $2.00 a gallon by the end of the year.

Quick stats

  • Average gas prices are below $2 per gallon in twelve states today including Oklahoma ($1.85), Missouri ($1.90), Arkansas ($1.90), Kansas ($1.90), Texas ($1.92), Mississippi ($1.95), Alabama ($1.95), Minnesota ($1.95), South Carolina ($1.96), Tennessee ($1.96), Louisiana ($1.97) and Virginia ($1.99).
  • The West Coast remains the most expensive region to buy gasoline in the country, led by Hawaii ($2.86), California ($2.70), Washington ($2.63), Alaska ($2.61), Nevada ($2.47) and Oregon ($2.45).

Top10 Lowest Average Gas Prices-11-21-16-01

West Coast

Gas prices on the West Coast remain the highest in the country, including the top six most expensive state averages: Hawaii ($2.87), California ($2.70), Washington ($2.63), Alaska ($2.61), Nevada ($2.47), Oregon ($2.45). Drivers in California (-6 cents), Washington (-5 cents) and Oregon (-5 cents) saw the biggest weekly discounts. Prices in the region could potentially be impacted later in the month due to a fire at PBF Energy’s 157,000-b/d refinery in Torrance, California, last Tuesday. OPIS reports that PBF Energy was operating major gasoline production equipment at reduced rates on Friday which may have a slight impact on supply in the area.

Rockies

Gas prices in the Rockies region have followed the national average trending lower over the past week. The region has generally been the most stable across the nation since it is geographically insulated from pump price movement tied to global crude oil prices. Regional prices are expected to continue dropping into the holiday season along with demand.

Great Lakes and Central States

The regions have the only five states in the nation that have seen prices increase over the past week: Ohio (+10 cents), Indiana (+10 cents), Michigan (+6 cents), Kentucky (+3 cent) and Missouri (+2 cents). The Great Lakes are often the most volatile area in the country for gas prices, and it is not uncommon for prices to move significantly from day to day. Despite recent increases, drivers in the region should see some relief at the pump soon. OPIS reports that BP’s 430,000-b/d Whiting refinery in Indiana is wrapping up its planned maintenance that first started in September. All units are expected to be back in production by the end of the month.

Top 10 Most Dramatic Weekly Price Changes_11-21-16-01

Mid-Atlantic and Northeast

Pump prices in the Mid-Atlantic and Northeast continue to drop at a steady rate, with prices across the region falling a couple of cents over the past week. Despite the drops, regional neighbors- New York ($2.37), Pennsylvania ($2.37) and Washington, D.C. ($2.36)- round out the list of top-10 most expensive markets in the country.

South and Southeast

Drivers in the southeastern quadrant of the U.S. continue to enjoy some of the lowest prices in the nation, due to the advantageous proximity to major Gulf Coast refineries and some of the lowest state gasoline taxes in the country. Five states in the region rank in the top-ten lowest prices nationwide: Texas ($1.92), Mississippi ($1.95), Alabama ($1.95), South Carolina ($1.96) and Tennessee ($1.96).

Oil Market Dynamics

Markets rallied early Monday morning and oil prices hit their highest point in three weeks as continued reports of an OPEC production agreement circulated. Last week, OPEC and non-OPEC members signaled that they might be getting closer to finalizing the details of their production agreement and proposed a production cap for Iran, which up until this point was not supportive of disrupting the amount of oil they produced. Following these discussions, many traders anticipate that it may be more likely that OPEC can solidify their production agreement at the November 30 meeting in Vienna, Austria. At the close of Friday’s formal trading session on the NYMEX, WTI was up 27 cents to settle at $45.69 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: 48.7 Million Americans to Travel this Thanksgiving

November 15th, 2016 by Jessica Souto

Julie Hall1 million more travelers than last year will take to the highways, skies and seas

ORLANDO, Fla. (Nov. 15, 2016) – AAA projects that 48.7 million Americans will journey 50 miles or more from home this Thanksgiving, an increase of one million travelers compared with last year. This represents a 1.9 percent increase over 2015, and the most Thanksgiving travelers since 2007. The Thanksgiving holiday travel period is defined as Wednesday, Nov. 23, to Sunday, Nov. 27.

Additional Resources

This year’s increase in Thanksgiving travel is spurred by improvements in the economy during the second half of the year, including rising wages, increased consumer spending and overall strength in consumer confidence. And despite recent incremental increases in the national average price of gasoline, AAA estimates U.S. drivers have saved more than $28 billion so far at the pumps this year compared to the same period last year.

“One million more Americans than last year will carve out time to visit with friends and family this Thanksgiving,” AAA President and CEO Marshall Doney said. “Most will travel on the tried and true holiday road trip, thanks to gas prices that are holding at close to $2 per gallon. Others will fly, take the bus or set off on a cruise to celebrate with their loved ones.”

Driving remains most popular mode of travel for Thanksgiving The vast majority—more than 89 percent—of holiday travelers will drive this Thanksgiving. The 43.5 million Americans planning a Thanksgiving road trip represents an increase of 1.9 percent over last year. Air travel is expected to increase 1.6 percent, with 3.69 million Americans flying to their holiday destinations. Travel by other modes of transportation, including cruises, trains and buses, will increase only slightly this Thanksgiving, to 1.44 million travelers.

Thanksgiving gas prices second-cheapest in nearly a decade Today’s national average price for a gallon of gasoline is $2.16, 11 cents more than the average price on Thanksgiving last year ($2.05). Most U.S. drivers will pay the second-cheapest Thanksgiving gas prices since 2008, when the national average was $1.85.

Thanksgiving airfares, hotel rates and car rental prices mixed According to AAA’s Leisure Travel Index, airfares are projected to increase 21 percent this Thanksgiving, landing at an average of $205 for a roundtrip flight for the top 40 domestic routes. Rates for AAA Three Diamond Rated lodgings are expected to remain flat, with travelers spending an average of $155 per night. The average rate for a AAA Two Diamond Rated hotel has risen four percent with an average nightly cost of $123. Daily car rental rates will average $52, 13 percent lower than last Thanksgiving.

Many travelers will journey west this Thanksgiving This year’s top destinations for Thanksgiving include many popular west coast cities, as well as perennial family-friendly favorites. The most popular destinations this Thanksgiving, based on AAA.com bookings, are:

  1. Las Vegas, Nevada
  2. San Francisco, California
  3. San Diego, California
  4. Orlando, Florida
  5. New York City, New York
  6. New Orleans, Louisiana
  7. Anaheim, California
  8. Fort Lauderdale, Florida
  9. Philadelphia, Pennsylvania
  10. Seattle, Washington

AAA will rescue thousands of motorists this Thanksgiving AAA expects to rescue more than 370,000 motorists this Thanksgiving, with the primary reasons being dead batteries, flat tires and lockouts. AAA recommends that motorists check the condition of their battery and tires and pack emergency kits in their vehicles before heading out on a holiday getaway. Drivers should have their vehicles inspected by a trusted repair shop, such as one of the nearly 7,000 AAA Approved Auto Repair facilities across North America. Members can download the AAA Mobile app, visit AAA.com or call 1-800-AAA-HELP to request roadside assistance.

Download the AAA Mobile app before a Thanksgiving getaway Before setting out on a Thanksgiving trip, travelers should download the free AAA Mobile app for iPhone, iPad and Android. The app can help map a route, find lowest gas prices, access exclusive member discounts, make travel arrangements, request AAA roadside assistance, find AAA Approved Auto Repair facilities and more. Learn more at AAA.com/mobile.

With the AAA Mobile app, travelers can also find more than 58,000 AAA Approved and Diamond Rated hotels and restaurants. AAA’s is the only rating system that uses full-time, professionally trained evaluators to inspect each property on an annual basis. Every AAA Approved establishment offers the assurance of acceptable cleanliness, comfort and hospitality, and ratings of One to Five Diamonds help travelers find the right match for amenities and services.

About the travel forecast:

AAA’s projections are based on economic forecasting and research by IHS Markit. The London-based business information provider teamed with AAA in 2009 to jointly analyze travel trends during major holidays. AAA has been reporting on holiday travel trends for more than two decades. The complete AAA/IHS 2016 Thanksgiving holiday travel forecast can be found here.

As North America’s largest motoring and leisure travel organization, AAA provides more than 56 million members with travel, insurance, financial and automotive-related services. Since its founding in 1902, the not-for-profit, fully tax-paying AAA has been a leader and advocate for the safety and security of all travelers. Motorists can map a route, identify gas prices, find discounts, book a hotel and access AAA roadside assistance with the AAA Mobile app for iPhone, iPad and Android. Learn more at AAA.com/mobile. AAA clubs can be visited on the Internet at AAA.com.

National Average Drops for 10 Consecutive Days

November 14th, 2016 by Jessica Souto

Tamra JohnsonPump prices have fallen for 10 consecutive days, reaching today’s national average price of $2.17 per gallon. Drivers are benefitting from the price of retail gasoline with today’s average five cents less per gallon than one week ago and eight cents less than one month ago. The abundance of crude oil in the global market is contributing to lower prices, and as a result, retail averages are the same price as compared to one year ago.

2013-2016_Avg Gas Prices_11-14-16-01

Historically, gasoline demand tends to decline during the month of November, and with the autumn refinery maintenance season nearing completion, pump prices are expected to move lower to close out the year, barring any unanticipated outages or supply disruptions.

Quick Stats

  • Average gas prices are below $2 per gallon in nine states today including Missouri ($1.88), Oklahoma ($1.88), Arkansas ($1.94), Kansas ($1.94), Indiana ($1.96), Texas ($1.97), Ohio ($1.98), Minnesota ($1.99) and Mississippi ($1.99).
  • The biggest weekly price decreases are reflected in Indiana (-14 cents), Ohio (-12 cents), Michigan (-11 cents), Kentucky (-8 cents), Illinois (-8 cents), Nebraska (-7 cents), Oklahoma (-7 cents), Minnesota (-6 cents), Wisconsin (-6 cents) and Georgia (-6 cents).

Top10 Lowest Average Gas Prices-11-14-16-01

West Coast

Gas prices in the West Coast region remain the highest in the country with Hawaii ($2.90), California ($2.76), Washington ($2.68), Alaska ($2.61), Nevada ($2.51) and Oregon ($2.49) all topping the list of most expensive markets. Fortunately for drivers, the increase in global oil supplies has caused the price of oil to drop. These decreases are making their way to the pump nationally and resulting in weekly discounts in west coast markets with the most significant decreases found in Washington (-4 cents), Oregon (-4 cents) and California (-4 cents).

Rockies

Retail averages in the Rocky Mountain states are following the national average downward, moving between 1-3 cents on the week in most parts of the region. Montana (-5 cents) is the only state posting a savings of a nickel or more. Gas prices in the region are below the $2.50 per gallon benchmark and are expected to continue to drop as we move into the holiday season.

Great Lakes and Central States

Pump prices in the regions dropped significantly over the past week and continue to be impacted primarily by supply and demand. Although prices are down in every state in the region on the week, Indiana (-14 cents), Ohio (-12 cents), Michigan (-11 cents), Kentucky (-8 cents), Illinois (-8 cents), Nebraska (-7 cents), Oklahoma (-7 cents), Minnesota (-6 cents) and Wisconsin (-6 cents) are all ranked on the nation’s top 10 list of biggest weekly discounts. OPIS reports that ExxonMobil’s Joliet, IL refinery experienced minor disruptions late last week due to flaring from an upset on process equipment. Despite these reports, this week Ohio ($1.98) and Indiana ($1.96) both landed on the nation’s top-10 list of cheapest markets.

Top 10 Most Dramatic Weekly Price Decreases_11-14-16-01

Mid-Atlantic and Northeast

Despite being home to three of the nation’s top 10 most expensive markets—Pennsylvania ($2.40), Washington, D.C. ($2.40) and New York ($2.39)—gas prices in the region are following the national trend downward and remain below the $2.50 per gallon benchmark.

Gas prices are down in every state in the Northeast on the week, with the largest weekly savings experienced by drivers in Washington, D.C. (-5 cents), New Jersey (-3 cents), Rhode Island (-3 cents). OPIS reports Delta Air Lines restarted the fluid catalytic cracking unit at its 190,000-b/d Trainer, Pennsylvania refinery last week and the Northeast is expected to receive a large import of gasoline from Europe during the second half of the month which should help boost supplies following the six-day shutdown of Colonial Pipeline earlier this month. Pump prices in the regions should continue to drop heading into the holiday season.

South and Southeast

Gas prices in much of the South and Southeast remain near or below $2 per gallon. Motorists in Arkansas, Texas and Mississippi are already enjoying an average price below this threshold, and drivers in Alabama, South Carolina and Louisiana could join this list in the next several days. OPIS reports that there was a backup of gasoline supplies in the Gulf Coast due to the Colonial Pipeline shutdown earlier this month. The shutdown prevented refiners from moving product to Southeast and Mid-Atlantic states and resulted in higher gasoline stores and drops in prices at the pump. The bulk of America’s refining capacity is in the Southeastern United States and abundant supplies should keep prices relatively low heading into the holiday season, barring any unexpected disruptions in pipeline shipment or refinery schedules.

Oil Market Dynamics

Global crude oil supply continues to outpace demand, which for now, is keeping a ceiling on prices. Traders are also watching supply and demand levels as OPEC and non-OPEC countries continue their production cut discussions ahead of their formal meeting on November 30 in Vienna, Austria. Decisions made at the formal meeting may impact available crude levels and in turn be reflected in retail prices. The WTI opened this week’s trading session posting losses, building on last week’s decline due to continued supply worries. At the closing of Friday’s formal trading session on the NYMEX, the WTI was down $1.25, settling at $43.41 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.

Tamra JohnsonThe national average price for gasoline remains relatively flat compared to one week ago, although pump prices have been pressured higher in some regions due to disruptions on the Colonial Pipeline. Today’s average price for regular unleaded gasoline is $2.22 per gallon, which is one cent more than one week ago, four cents less compared to one month ago and the same price year over year.

2013-2016_Avg Gas Prices_11-07-16

 

While drivers in a number of states (30) are paying less at the pump week-over-week, some volatility remains in Southeastern portions of the United States where gasoline prices saw upward momentum as a result of the Colonial Pipeline disruption. Line 1 operations were restored on Sunday afternoon after more than a week of downtime following a deadly explosion on Line 1 last week. While delivery of fuel has resumed, it may take a week before affected states see any relief at the pumps.

 

Quick stats

  • Average gas prices are below $2 per gallon in four states today including Missouri ($1.93), Oklahoma ($1.94), Arkansas ($1.98) and Kansas ($1.99).
  • The nation’s top ten most expensive markets are: Hawaii ($2.92), California ($2.80), Washington ($2.72), Alaska ($2.63), Oregon ($2.53), Nevada ($2.53), Idaho ($2.46), District of Columbia ($2.44), Pennsylvania ($2.41), New York ($2.40).

 

West Coast

 Gas prices on the West Coast continue to be the highest in the country, with every state in the region landing on the top ten list of most expensive markets: Hawaii ($2.92), California ($2.80), Washington ($2.72), Alaska ($2.63), Oregon ($2.53), Nevada ($2.53). Prices have been relatively steady over the past week despite tightened supply in the California market and the wrap up of planned maintenance on the Olympic pipeline early last week in the Northwest. BP shut down operations on its Pacific Northwest pipeline system to conduct planned maintenance October 27 and reopened the line a few days later. The Energy Information Administration (EIA) weekly report recently revealed west coast gasoline supplies hitting record lows which can likely be tied to the fall maintenance schedule. Most west coast refineries are set to come back online this month.

Top10 Highest Average Gas Prices_11-07-16

 

Rockies

Pump prices in the Rocky Mountains are dropping due to weakening crude oil prices and demand in the market. Crude prices were under $30 bbl in parts of Montana and North Dakota last week resulting in discounts for every state in the region, with North Dakota (-4 cent) and South Dakota (-4 cents) landing on the list of largest weekly decreases.

 

Great Lakes and Central States

Pump prices in the Great Lakes region continue to be the most volatile in the nation with three states landing on the list of largest weekly increases: Michigan (+5 cents), Ohio (+5 cents) and Indiana (+3 cents). A 5.0 magnitude earthquake in Cushing, Oklahoma last night may have future impact on prices in the Midwest. The Associated Press reports that the earthquake struck around 7:45 p.m. CST and resulted in minor injuries and power outages. Cushing is home to 13 pipelines that transport millions of barrels of oil a day as well as refined products to states in the Rockies and Midwest. Refined products are delivered from the Gulf Coast via the Explorer Pipeline to Chicago and Magellan Pipeline to Oklahoma, Kansas and Missouri markets as well as other Midwest destinations.

Prices for drivers in the Central United States remain some of the cheapest in the country with three states posting prices under $2: Missouri ($1.93), Oklahoma ($1.94) and Kansas ($1.99).

Top10 Lowest Average Gas Prices-11-07-16

 

Mid-Atlantic and Northeast

Prices across much of the Mid-Atlantic and Northeast remained relatively flat except for New Jersey ($2.04), where the national average jumped 25 cents this week because of the new state gas tax hike that took effect November 1. Barring any unexpected impact to production or distribution, prices in the region should drop this month due to dropping oil prices and demand.

 

South and Southeast

Markets in the South and Southeast continue to post some of the lowest prices for retail gasoline in the nation, with seven states landing on the list of cheapest markets: Arkansas ($1.98), Texas ($2.02), Mississippi ($2.03), South Carolina ($2.04), Alabama ($2.04), Louisiana ($2.05) and Tennessee ($2.06). Despite the low prices in some parts of the regions, drivers in Georgia saw prices jump eight cents on the week because of problems on the Colonial Pipeline.  Colonial resumed shipments on Line 1 early Sunday, ahead of their projected afternoon start time. Prior to Sunday’s restart, Line 1 had been shut down for six days due to a gasoline explosion last Monday in Shelby County, Alabama. While delivery of fuel has resumed, it may take close to a week before impacted states see any relief at the pumps.

Recent reports from OPIS show that the actual market impact from the shutdown is expected to be less than originally thought for the month of November. Prior to the gasoline explosion on October 31, Colonial had planned a 20 percent rate cut on Line 1 November 12-21. The rate cuts were needed to remove the 500-foot-long bypass that was installed after September’s gasoline leak, however the scheduled work was completed during last week’s shutdown, which means Colonial will be able to make up about two days’ of gasoline deliveries.

 

Oil Market Dynamics

Last week, following the explosion and shutdown of Colonial Pipeline Line 1 crude oil was trading higher, but the company quickly announced that Line 1 was scheduled to restart on Sunday November 7th. The restart announcement had a chilling effect on the market and crude oil prices dropped below $45 dollars a barrel. Colonial Pipeline could face congressional scrutiny after the deadly pipeline incident.  Several Members of Congress sent a letter to U.S. DOT Secretary Anthony Fox requesting a comprehensive examination of Colonial Pipeline and the company’s management as it relates to the maintenance and integrity operations of the system. Also weighing on the market are the continued negotiations amongst OPEC and non-OPEC members. The Secretary-General of OPEC announced today that the group was still committed to developing an output deal to cut oil production, but no formal agreement has been reached. Traders will keep a close eye on the Colonial Line 1 restart and upcoming OPEC meetings. At the close of Friday’s formal trading session on the NYMEX, WTI was down 59 cents to settle at $44.07 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.

 

Podcasts

B-Roll

YouTube Videos

AAA Senior Driver Expos

NewsRoom Video Gallery

Media: Find and Download AAA Videos and B Roll.