U.S. Gasoline Prices Increase; Crude Oil Costs Are Little Changed Last Week

Retail gasoline prices for all grades climbed to $3.60 per gallon (-1.3% y/y) in the week ended July 1 compared to $3.56 per gallon in the previous week. The recent high was $4.00 per gallon in the third week of September, and the all-time high was $5.11 in the week ended June 13, 2022. Retail prices for on-highway diesel fuel rose to an average $3.81 per gallon (1.2% y/y) last week from $3.77 in the prior week. These compared to a high of $4.63 per gallon in the third week of September 2023.

The average price of West Texas Intermediate crude oil of $81.33 per barrel (+17.2% y/y) in the week ended June 28 stayed close to the average $81.20 per barrel in the prior week. It remained the highest price since the last week of April but stood well below the all-time high reached in the week of July 4, 2008 of $142.46 per barrel. Yesterday, the price of West Texas Intermediate crude oil was $83.38 per barrel. The price of European Brent crude oil rose to $86.96 per barrel (18.2% y/y) in the week ended June 28 compared to $85.04 in the prior week. The price of Brent has recently ranged from a low of $73.55 in the week ended June 30, 2023 to a high of $127.40 in the week ended June 10, 2022. Yesterday, the price was $86.57 per barrel.

Natural gas prices rose to an average of $2.52/mmbtu (-2.3% y/y) in the week ended June 28 after the prior week’s decline to $2.44/mmbtu. Prices recently have been strengthening and compare to a low of $1.40 averaged in the week of March 15. They remain below the high of $9.56/mmbtu averaged in the last week of August 2022. Yesterday, the price of natural gas rose further to $2.58/mmbtu.

Gasoline demand fell 2.0% y/y in the four weeks ended June 21 after declining 1.0% y/y in the four weeks ended June 14. Demand for all petroleum products improved 0.8% y/y in the last four weeks after rising 0.2% y/y in the previous period. Crude oil input to refineries rose 2.3% y/y in the four weeks ended June 14 compared to a 3.3% y/y gain during the previous four-week period.

Gasoline inventories rose 5.4% y/y in the week of June 21 after rising 4.4% y/y in the prior week. Inventories of residual fuel oil fell 8.1% y/y after declining 7.3% y/y in the previous week. Crude oil inventories, including the Strategic Petroleum Reserve, rose 3.8% y/y in the week of June 21 following a 1.8% y/y rise in the prior week.

Measured in days’ supply, gasoline inventories rose w/w to 25.7 days in the week ended June 21 from 25.3 days in the week of June 14. The recent low was 23.4 days in the week of June 30, 2023. Crude oil inventories increased to 27.3 days in the week of June 21 from 26.9 days in the prior week. These compare to a recent high of 31.9 days in the week of March 3, 2023 and a low of 25.0 days in the week of September 1, 2023.

These data are reported by the Energy Information Administration of the U.S. Department of Energy. The price and supply/demand data can be found in Haver’s WEEKLY and USENERGY databases.