AAA: Memorial Day Travelers will Pay Highest Gas Prices since 2014

Gas prices in West Central Kentucky are one cent lower this week at $2.796, according to AAA East Central’s Gas Price Report.

This week’s average prices: Western Central KY Average                       $2.796
Average price during the week of May 17, 2021                                         $2.802
Average price during the week of May 26, 2020                                         $1.834
 
Average prices of unleaded self-serve gasoline in various areas: 

$2.786        Bowling Green
$2.679        Elizabethtown
$3.133        Louisville
$2.690        Owensboro
$2.692        Paducah

Trend Analysis:

AAA expects 37 million Americans to travel, mostly by car and plane, for the Memorial Day holiday weekend. These motorists will be greeted with the most expensive Memorial Day weekend gas prices since 2014. The national average has stabilized following the Colonial Pipeline cyberattack, but pump prices are likely to fluctuate leading up to the holiday weekend. Over the past weekend, the national gas price average declined a penny to $3.03, the first decrease in two weeks. While barely cheaper on the week, the average is 17 cents more than last month and $1.12 more expensive than last year.

At the close of Friday’s formal trading session, WTI increased by $1.64 to settle at $63.58. While a stronger dollar contributed to higher prices for the day, on the week crude prices declined amid coronavirus concerns. Additionally, new market concerns about inflation and the Energy Information Administration’s (EIA) weekly report revealing that total domestic crude inventories increased by 1.3 million barrels to 486 million barrels helped to reduce crude prices last week. If the EIA’s next weekly report shows another increase in crude stocks, prices could decrease further this week.