US gasoline prices climbed 13 cents in a week despite seasonal declines, as Strait of Hormuz tensions pushed crude toward $100 per barrel, the American Automobile Association said in a Thursday note.
The national average reached $4.277 per gallon last week, up from $3.194/gal a year earlier, rising during a season when gasoline prices typically fall as demand declines.
The average stood at $4.144/gal a week earlier and $4.009/gal a month earlier, according to the American Automobile Association.
Strait of Hormuz volatility pushed crude prices back toward $100/bbl for the first time since July, bringing gasoline costs close to early June levels.
Gasoline prices also moved higher during a period when demand typically falls, creating an unusual seasonal trend as lower consumption normally puts downward pressure on pump prices.
Energy Information Administration data released Thursday showed US gasoline demand fell to 8.55 million barrels per day in the week ended Sep. 4 from 8.92 million b/d.
Domestic gasoline supplies, however, increased to 206.9 million barrels from 205.7 million barrels, while gasoline production dropped to 9.3 million b/d from 9.8 million b/d.
West Texas Intermediate crude gained $3.02/bbl Wednesday to settle at $96.05/bbl as oil markets responded to continued uncertainty around the Strait of Hormuz.
US crude inventories declined 400,000 barrels to 424.1 million barrels in the week ended Sep. 4, leaving stockpiles in line with the five-year average, the EIA said.
At $5.89/gal, California had the highest gasoline price, while Washington and Hawaii ranked among the other most expensive markets at $5.53/gal and $5.40/gal.
Indiana offered the lowest gasoline price at $3.56/gal, while Mississippi and Texas followed at $3.80/gal and $3.83/gal, respectively.
Public charging costs were highest in Hawaii at 53 cents/kWh, with West Virginia at 52 cents/kWh and Alaska at 49 cents/kWh.
Kansas recorded the lowest public charging rate at 31 cents/kWh, while Missouri and Iowa each stood at 33 cents/kWh.
US diesel futures crossed the $5/gal threshold for the first time since April 2022, reflecting mounting pressure on global fuel markets as conflicts disrupt trade and reduce available inventories, Bloomberg said in a Thursday report.
Strait of Hormuz product exports remain below pre-war levels, while Russia's export ban through September is tightening diesel supplies and pushing the US to draw stockpiles to record seasonal lows, the report said.
California posted the highest diesel price at $7.9114/gal, with Washington at $7.0021/gal and Hawaii at $6.9756/gal among the other most expensive markets, according to AAA data.
Oklahoma had the lowest diesel price at $5.5264/gal, while Texas stood at $5.5805/gal and Kansas at $5.5818/gal.