The state average of $1.79 is 8 cents more than last week, 23 cents more than a month ago and 64 cents less than a year ago, AAA reported. Tennessee saw the largest weekly increase in the South and ranks among the top 10 biggest changes in the country.
Most expensive gas prices in the state
• Nashville ($1.86)
• Cleveland ($1.82)
• Jackson ($1.81)
• Memphis ($1.79)
Least expensive gas prices in the state
• Johnson City ($1.73)
• Clarksville-Hopkinsville ($1.74)
• Kingsport-Bristol ($1.74)
• Knoxville ($1.74)
In the South and Southeast
The region continues to lay claim to the cheapest prices in the country — all under $1.99. Eight states land on the top 10 list: Mississippi ($1.66), Texas ($1.69), Louisiana ($1.70), Arkansas ($1.71), Alabama ($1.72), Oklahoma ($1.73), South Carolina ($1.73) and Tennessee ($1.79).
Across the nation
For 66 days, the national gas price average held below the $2 per gallon mark, pushing as cheap as $1.76. In the past week, the average has inched up to $2.03, according to AAA.
Despite the consistent increases at the pump, prices are still significantly cheaper year-over-year. In fact, during the first week of June the past five years, gas prices have typically averaged $2.81.
“The beginning of June has not seen gas prices this low since 2004,” said Jeanette Casselano, AAA spokesperson, in a press release. “As crude oil prices trend higher and gasoline demand increases, Americans will see gas prices push more expensive, but this summer will be cheaper than last.”
Meanwhile, U.S. gasoline demand continues to show increasing strength. The Energy Information Administration’s (EIA) latest reading shows a 4% weekly increase at 7.5 million barrels per day. That is the highest demand level since states began issuing stay-at-home orders in mid-March, AAA reported.
What about oil?
At the end of Friday’s formal trading session, West Texas Intermediate crude increased by $2.14 to settle at $39.55 per barrel, AAA reported.
At the end of last week, crude prices increased amid market optimism that the Organization of the Petroleum Exporting Countries (OPEC) and other major crude exporters, including Russia, would extend their 9.7 million barrels-per-day production reduction agreement for May and June 2020 into July.
Over the weekend, the cartel and its partners agreed to extend the deal for July, which is expected to reduce global crude supplies by nearly 10% while global crude oil demand remains low due to COVID-19. Crude prices will likely increase this week in reaction to OPEC’s announcement.
To view daily gas price averages, visit gasprices.aaa.com.