An American Automobile Association (AAA) map shows the cheapest states to buy gas as prices at the pump soar.
The national average price for a gallon of regular gasoline jumped by 5 cents Wednesday, according to AAA data. The leap puts the national average for a gallon of regular gasoline at $3.67, just 2 cents shy of the 2023 high set in April. An ongoing rise in gasoline prices could signal worsening inflation despite multiple interest rate increases by the Federal Reserve, the most recent of which took place on Wednesday.
The cheapest gallon of gas on Wednesday was available in Mississippi, with the state average price at $3.13 per gallon of regular gasoline, according to AAA. Gas in Mississippi was cheapest in Chickasaw and Walthall counties, where it could be bought for less than $3 per gallon.
Gas was available at prices below the national average in more than half the country. Texas, Oklahoma, Kansas, Missouri, Arkansas, Louisiana, Kentucky, Tennessee, Alabama and South Carolina were among the states where it was the cheapest.
Illinois, Alaska, Hawaii, California, Nevada, Utah, Colorado, Idaho, Oregon and Washington topped the list for being the most expensive, the highest average of which was in Washington at $4.927 per gallon of regular. In Mono County, California, prices for regular gas averaged more than $6 per gallon.
The national average for a gallon of diesel was $3.92 as of Wednesday.
One contributing factor for the heightened gas prices is a heatwave that is gripping the Southwest.
"We're seeing heat-related refinery issues that are hitting gasoline supply, and supplies are now at their lowest July level since 2015, pushing retail gas prices up coast to coast," Patrick De Haan, the head of petroleum analysis at GasBuddy, told Newsweek.
Another factor is cuts in the global oil supply after Saudi Arabia announced it would slash production by 1 million barrels per day starting this month.
Hurricane season also can negatively impact gas prices. Strong storms heighten prices by disrupting production and causing supply problems. Hurricane season is June through November. Although a significant hurricane has yet to hit the U.S., forecasters have predicted between 12 and 18 storms this season. Five to nine of the storms are anticipated to become hurricanes. At least one and up to four of the storms are expected to be a Category 3 or higher.
"Given how tight supply is and with some refineries experiencing issues, a large hurricane heading for Texas or Louisiana, home to half the nation's total refining capacity, could be devastating," De Haan said.
Scorecard check- GasBuddy's forecast called for a 2023 yearly national average of $3.49/gal. We stand at $3.482/gal thus far through July 25- but hurricane risk could pull us higher- all eyes on the Atlantic.
— Patrick De Haan ⛽️📊 (@GasBuddyGuy) July 26, 2023
As of Wednesday, GasBuddy forecasted a 2023 yearly national average of $3.49 per gallon, but hurricanes could increase that number.
"We stand at $3.482/gal thus far through July 25- but hurricane risk could pull us higher- all eyes on the Atlantic," De Haan tweeted.
The national average for regular gasoline is at its highest price since April 20. If prices continue to rise, the nation could reach the highest average gasoline price since November 17, 2022.
Uncommon Knowledge
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
Newsweek is committed to challenging conventional wisdom and finding connections in the search for common ground.
About the writer
Anna Skinner is a Newsweek senior reporter based in Indianapolis. Her focus is reporting on the climate, environment and weather ... Read more
