Gas prices retreated from their record high this week

Photo (c) bizoo n - Getty Images

A big drop in oil prices provided some relief at the gas pump

After last week’s record surge in gasoline prices, some motorists found a little relief this week depending on where they live. For the short-term at least, prices appear to have peaked.

The AAA daily gas price survey shows that the national average price of regular gas today is $4.27 a gallon, six cents less than last Friday. Last week, the average price topped out at $4.33 a gallon.

The average price of premium gas is $4.93 a gallon, two cents lower than a week ago. The average price of diesel fuel is $5.08 a gallon, seven cents less than last week.

Tristan Kruth, director of Marketing at FuelCloud, which makes fuel management systems, says gas prices sometimes move with oil prices. However, he says that’s not always the case.

“The current spike in oil prices is being driven by Wall Street speculation, not an actual lack in supply or increase in demand,” Kruth told ConsumerAffairs. “When fuel prices are volatile, the most likely outcome in the short term is continued price volatility. However, given that oil supply is still reliable, our expectation is that fuel prices will come back to earth in the reasonably near future."

In the last week, motorists in some states experienced wild price swings. Prices surged 31 cents a gallon in Hawaii, making it once again the second-most expensive state for gasoline behind California, which saw the average price rise nine cents a gallon this week.

The average price jumped 15 cents a gallon in Nevada while a number of states saw prices fall, or at the very least remain stable. The statewide average gas price fell nine cents a gallon in Connecticut, while it was seven cents lower in New York.

States with the most expensive gas

These states currently have the highest prices for regular gas, according to AAA:

  • California ($5.78) 

  • Hawaii ($5.12)     

  • Nevada ($5.02)   

  • Washington ($4.73)

  • Oregon ($4.71)  

  • Alaska ($4.71)      

  • Arizona ($4.61)   

  • Illinois ($4.53)     

  • Connecticut ($4.39)   

  • New York ($4.40)  

States with the cheapest gas

AAA reports that these states currently have the lowest prices for regular gas:

  • Kansas ($3.79)

  • Missouri ($3.79)  

  • Oklahoma ($3.82)

  • Arkansas ($3.86)

  • Nebraska ($3.88)

  • North Dakota ($3.89)

  • Iowa ($3.89)

  • Minnesota ($3.93) 

  • South Dakota ($3.95)   

  • Colorado ($3.96)     

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