EIA Gasoline and Diesel Retail Prices Update, October 30, 2018

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 October 29, 2018. Retail prices for both fuels fell in all PADDs countrywide. On a national average basis, gasoline prices dropped by 3.0 cents/gallon, while diesel prices fell by 2.5 cents/gallon.

West Texas Intermediate (WTI) crude futures prices dropped significantly by $2.01/b during the week ended October 26. Gasoline futures prices fell sharply by 10 cents/gallon during the week. Diesel futures prices held value more successfully, declining by only 0.7 cents/gallon. Retail prices during the week ended October 29 followed the downward trend in futures markets. As of the time of this writing, WTI futures crude prices have sagged below $66/b, hitting some of the lowest prices seen since April 2015. Without a significant rally in futures markets—and in equities markets—retail prices should continue to ease this week.

For the current week ended October 29, diesel prices fell by 2.5 cents to an average price of $3.355/gallon. Prices fell in all PADDs. The national average price was 53.6 cents per gallon higher than it was one year ago.

In the East Coast PADD 1, diesel prices fell by 2.3 cents to arrive at an average price of $3.346/gallon. Within PADD 1, New England prices edged down slightly by 0.3 cents to average $3.365/gallon. Central Atlantic diesel prices fell by 1.0 cent to average $3.523/gallon. Lower Atlantic prices dropped by 3.7 cents to arrive at an average price of $3.217/gallon. PADD 1 prices were 53.5 cents/gallon above their prices for the same week last year.

In the Midwest PADD 2 market, retail diesel prices fell by 2.3 cents to average $3.310/gallon. Prices were 50.0 cents/gallon above their level for the same week last year.

In the Gulf Coast PADD 3, retail diesel prices dropped by 3.5 cents to average $3.117/gallon. This was the largest price decrease among the five PADDs. Prices were 47.8 cents higher than for the same week in the previous year.

In the Rocky Mountains PADD 4 market, retail diesel prices decreased slightly by 0.3 cents to average $3.405/gallon. PADD 4 prices were 46.2 cents higher than in the prior year.

In the West Coast PADD 5 market, retail diesel prices dropped by 2.3 cents to average $3.848/gallon. This price was 73.7 cents above its level from last year. Prices excluding California fell by 2.3 cents to reach an average of $3.564/gallon. This price was 54.4 cents above the retail price for the same week last year. California diesel prices dropped by 2.2 cents to arrive at an average price of $4.074/gallon. California is the only state where $4/gallon diesel is the norm. California diesel prices were 88.9 cents above last year’s price.

 

U.S. retail gasoline prices fell by 3.0 cents to average $2.811/gallon during the week ended October 29th. Prices fell in all PADDs. The national average price was 32.3 cents per gallon higher than it was one year ago.

For the current week ended October 29, East Coast PADD 1 retail prices for gasoline dropped by 4.4 cents to average $2.733/gallon. The average price was 28.5 cents higher than last year’s price. Within PADD 1, New England prices fell by 2.5 cents to average $2.812/gallon. Central Atlantic market prices decreased by 3.5 cents to average $2.853/gallon. Prices in the Lower Atlantic market dropped significantly by 5.4 cents to average $2.636/gallon.

In the Midwest PADD 2 market, retail gasoline prices eased by 0.9 cents to arrive at an average price of $2.680/gallon. Gasoline pump prices were 25.3 cents higher than they were one year ago.

In the Gulf Coast PADD 3 market, gasoline prices dropped sharply by 5.9 cents to average $2.523/gallon. This was the largest price drop among the PADDs. PADD 3 continues to have the lowest average prices among the PADDs. Prices for the week were 30.8 cents higher than for the same week in 2017.

In the Rocky Mountains PADD 4 market, gasoline pump prices declined by 0.5 cents to arrive at an average of $2.958/gallon. Seven weeks ago, PADD 4 joined PADD 5 in having gasoline prices of over $3/gallon, but pump prices eased below the $3.00/gallon mark during the week ended October 8, and they declined further in the past three weeks. Prices were 44.3 cents higher than at the same time in 2017.

In the West Coast PADD 5 market, retail gasoline prices fell by 1.7 cents to arrive at an average of $3.482/gallon. This price was 55.4 cents higher than at the same time a year ago. PADD 5 continues to have the highest gasoline prices among the five PADDs. Excluding California, West Coast prices decreased by 1.0 cent to average $3.231/gallon. This was 54.3 cents higher than at the same time in 2017. In California, pump prices dropped by 2.6 cents to average $3.683/gallon. California prices were 61.7 cents per gallon above their levels from last year.