Gas prices are moving higher again after weeks of declines, with AAA reporting the national average for regular gasoline increased this week as uncertainty continues surrounding global oil markets.
The national average price for a gallon of regular gasoline reached $3.84, up about 5 cents overnight, reversing a downward trend that began in late May. Prices remain below the spring peak, when the national average reached $4.56 per gallon on May 21.
AAA said the increase comes as the future of the U.S.-Iran ceasefire remains uncertain, creating concerns about potential disruptions in global oil markets, particularly around the Strait of Hormuz, a major route for oil shipments.
Crude oil prices have been trading in the $70-per-barrel range, with West Texas Intermediate crude settling Wednesday at $73.52 per barrel, an increase of more than $3. The Energy Information Administration reported U.S. crude oil inventories increased by 3 million barrels last week but remain about 6% below the five-year average for this time of year.
According to the EIA, gasoline demand declined last week from 9.13 million barrels per day to 8.84 million barrels per day. Domestic gasoline supplies also decreased, dropping from 214 million barrels to 212.1 million barrels.
California continues to rank among the states with the highest fuel prices in the nation. AAA reports the average price in California is currently $5.38 per gallon, second only to Hawaii at $5.46.
Other states with some of the highest average gas prices include Washington at $4.99, Alaska at $4.69, Nevada at $4.55, and Oregon at $4.53.
AAA also reported the national average cost for public electric vehicle charging increased by one cent this week to 42 cents per kilowatt hour. California’s average public charging cost is among the highest in the country at 46 cents per kilowatt hour.
