EIA Gasoline and Diesel Retail Prices Update, April 16, 2019

Analysis by Dr. Nancy Yamaguchi

 

The U.S. Energy Information Administration (EIA) released its weekly data on diesel and gasoline retail prices for the week ended April 15, 2019. Gasoline and diesel prices continued to march upwards, rising in all PADDs countrywide. On a national average basis, retail prices for gasoline rose significantly by 8.3 cents/gallon. Retail diesel prices rose by 2.5 cents/gallon. National average prices for both gasoline and diesel now are above their levels for the same week last year, gasoline by 8.1 cents/gallon, and diesel by 1.4 cents/gallon.

During the week ended April 12, 2019, West Texas Intermediate (WTI) crude futures prices rose by $0.56/b (0.9%.) Gasoline futures prices rose by 5.7 cents/gallon (2.9%.) Diesel futures prices rose by 2.58 cents/gallon (1.3%.) Although the relationship between futures market prices and retail prices is not immediate and one-for-one, the most recent trend in futures prices suggests that gasoline and diesel prices will rise in the coming week.

For the current week ended April 15, retail diesel prices rose by 2.5 cents to arrive at an average price of $3.118/gallon. The national average retail price rose back above the $3/gallon level. Between mid-October and late-January, retail diesel prices fell for fourteen consecutive weeks. During those fourteen weeks, the price decline totaled 42.9 cents/gallon. From February through mid-April, diesel prices have crept back up by 15.3 cents/gallon. For the current week ended April 15th, diesel prices rose in all PADDs. The national average price was 1.4 cents/gallon above its level of last year.

In the East Coast PADD 1, diesel prices rose by 1.6 cents/gallon to reach an average price of $3.153/gallon. Within PADD 1, New England prices increased by 1.2 cents to average $3.205/gallon. Central Atlantic diesel prices rose by 1.8 cents to average $3.342/gallon. Lower Atlantic prices rose by 1.7 cents/gallon to reach an average price of $3.015/gallon. PADD 1 prices were 3.7 cents/gallon above their prices for the same week last year.

In the Midwest PADD 2 market, retail diesel prices rose by 1.7 cents to average $3.01/gallon. Prices were 0.6 cents/gallon below their level for the same week last year.

In the Gulf Coast PADD 3, retail diesel prices rose by 2.0 cents to average $2.899/gallon. PADD 3 typically has the lowest diesel prices, and it is the only PADD where retail diesel prices are still below the $3/gallon mark. Prices were 1.1 cents lower than for the same week in the previous year.

In the Rocky Mountains PADD 4 market, retail diesel prices rose by 5.4 cents to reach an average of $3.082/gallon. PADD 4 prices were 5.5 cents lower than for the same week in the prior year. It is the only PADD where prices remain lower than they were a year ago.

In the West Coast PADD 5 market, retail diesel prices rose by 6.0 cents to average $3.651/gallon. This was the largest price increase among the PADDs. PADD 5 prices were 6.8 cents above their level from last year. Prices excluding California rose by 6.3 cents to arrive at an average of $3.252/gallon. This price was 7.4 cents below the retail price for the same week last year. California diesel prices increased by 5.7 cents to arrive at an average price of $3.967/gallon. California diesel prices are 18.0 cents higher than they were at the same week last year.

U.S. retail gasoline prices rose significantly by 8.3 cents to average $2.828/gallon during the week ended April 15. Prices rose in all PADDs. Until last week, the national average price had been below last year’s levels. As of the current week, retail prices rose to be 8.1 cents per gallon higher than they were one year ago. Gasoline prices hit a peak of $2.903/gallon during the week ended October 8, 2018. Prices then slid downward for 14 weeks in a row, shedding a total of 66.6 cents per gallon. In the 14 weeks since then, prices have marched back up by 59.1 cents/gallon. Prices now are within 7.5 cents of the peak they hit in early October. are 15.8 cents/gallon below the peak price hit in early October.

For the current week ended April 15th, East Coast PADD 1 retail prices for gasoline rose by 6.5 cents to average $2.718/gallon. The average price was 3.0 cents above last year’s price. Within PADD 1, New England prices increased by 5.9 cents to average $2.648/gallon. Central Atlantic market prices rose by 7.5 cents to average $2.816/gallon. Prices in the Lower Atlantic market increased by 6.0 cents to average $2.673/gallon.

In the Midwest PADD 2 market, retail gasoline prices rose by 6.6 cents to reach an average price of $2.736/gallon. PADD 2 prices for the current week were 13.4 cents/gallon higher than they were for the same week last year.

In the Gulf Coast PADD 3 market, gasoline prices rose by 8.4 cents to average $2.536/gallon. PADD 3 continues to have the lowest average prices among the PADDs. Prices for the week were 4.0 cents higher than for the same week last year.

In the Rocky Mountains PADD 4 market, gasoline pump prices jumped by 10.1 cents to arrive at an average price of $2.640/gallon. This week’s prices were 9.4 cents lower than at the same time last year. PADD 4 is the last PADD where retail prices remain below their levels of last year.

In the West Coast PADD 5 market, retail gasoline prices soared by 16.1 cents to arrive at an average of $3.579/gallon. This was the largest price increase among the PADDs. PADD 5 continues to have the highest gasoline prices among the five PADDs. Excluding California, West Coast prices rose by 10.7 cents to average $3.163/gallon. This price was 11.6 cents higher than at the same time last year. In California, pump prices soared by 20.4 cents to average $3.922/gallon. California prices are now 36.9 cents per gallon above their levels from the same week last year.