The national average price of gasoline dropped another five cents over the last week. Fuel prices have declined for eight straight weeks amid the COVID-19 pandemic and a flooded oil market.
GasBuddy reports the national average price of gasoline at $1.78 per gallon, while the national average price of diesel fell 2.9 cents to $2.49 per gallon.
GasBuddy’s Patrick DeHaan says, “unprecedented demand destruction has been dismantling expensive gas prices everywhere.”
Data from the Energy Information Administration last Wednesday highlighted another blowout week for oil and refined products inventories.
Crude oil inventories skyrocketed 19.2 million barrels- the single largest weekly rise, ever, while gasoline jumped nearly five million barrels, and distillate inventories jumped 6.3 million barrels.
Demand for gasoline remained anemic at 5.08 million barrels per day, while GasBuddy demand figures put the loss around 55-70 percent by state as millions are staying at home and some now without work.
Refineries also pulled back, utilizing just 69.1 percent of their capacity at a time of year they’re typically north of 90-95 percent.