The Week

Many drivers across Maryland who are still waiting for prices to return to their pre-Hurricane Harvey levels may have to continue being patient, as the downslide has stalled. The recent price increases can likely be attributed to tighter gasoline supply along the East Coast and possibly higher transportation costs.

Maryland’s average cost at the pump is pricing six cents lower than the national average at $2.41 per gallon. The state’s average reflects an increase of three cents from a week ago, a 13 cents drop compared to last month, but an 18 cents increase over last year’s price.

Salisbury is experiencing the largest weekly increase, 10 cents per gallon, compared to other key Maryland metro areas.  The increase could likely be due to fall day trips and weekend getaways, as motorists take advantage of the unseasonably mild weather amid tighter gasoline supplies.

The national average is $2.47 per gallon, which is a penny higher than this time last week, 10 cents lower than this time last month and 24 cents higher than this time last year. 

At the close of NYMEX trading Thursday, West Texas Intermediate (WTI) crude oil settled at $52.64 per barrel, 74 cents higher than Monday’s closing price. The U.S. Energy Information Administration (EIA) reported that domestic crude supplies rose by 900,000 barrels for the week ending October 20, halting a four week string of declines. The Organization of Petroleum Exporting Countries (OPEC) has said that it sees global oil supplies rebalancing in the third quarter of next year, while some others doubt that prediction in light of increased U.S. crude production.  The production cuts put in place by OPEC last year have helped drain crude inventories in the U.S. and elsewhere in the developed world, but prices have remained stuck below the target of $60 a barrel.

CURRENT AND PAST GAS PRICE AVERAGES 

Regular Unleaded Gasoline

The Weekend

“After weeks of declining prices at the pump, many local drivers are seeing prices stabilize and, in some areas, trend slightly upward,” said Ragina Cooper Averella, Manager of Public and Government Affairs at AAA Mid-Atlantic.  “Inventories in the Mid-Atlantic region have dropped and if supplies continue to tighten, gas prices have the potential to climb.”

The Week Ahead

OPEC is expected to debate extending its production cutting agreement through 2018 at its next official meeting on November 30. Saudi Crown Prince Mohammed bin Salman backed the extension of OPEC output cuts beyond March 2018, saying in an interview with Bloomberg News in Riyadh that “of course” he wanted to extend OPEC’s production cuts into 2018. His comments follow Russian President Vladimir Putin saying Russia is open to extending the deal with OPEC to the end of next year.

AAA is the most comprehensive resource for gas prices.  AAA reports reflect actual prices from credit card transactions at more than 100,000 gas stations in the U.S. No other fuel price research tool has such a large, automatically generated database that is especially useful in generating local average prices which are more meaningful for consumers.

AAA has a variety of resources to help motorists save on fuel:

• Fuel Price Finder (AAA.com/fuelfinder) locates the lowest fuel price in your area. 
• AAA Gas Cost Calculator (GasPrices.AAA.com/AAA-gas-cost-calculator/) helps budget travel expenses. 
• TripTik Mobile (AAA.com/mobile) plots fuel prices along your travel route. 

• AAA's Member Rewards Visa® Credit Card (AAA.com/financial/AAAvisa.htm) accumulates double points on fuel purchases.

   

  Next Weekend Gas Watch: Friday, November 3, 2017

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AAA provides automotive, travel and insurance services to 58 million members nationwide and more than 937,000 members in Maryland.  AAA advocates for the safety and mobility of its members and has been committed to outstanding road service for more than 100 years.  The not-for-profit, fully tax-paying member organization works on behalf of motorists, who can now map a route, find local gas prices, discover discounts, book a hotel and track their roadside assistance service with the AAA Mobile app for iPhone, iPad and Android.  For more information, visit AAA.com.