The average price of gas across the state sits at $2.43 per gallon for regular unleaded, a two-cent decrease from last week. Today’s average is 22 cents cheaper than in August 2018. According to AAA, Tennessee is also seventh in the country in terms of lowest average price of gas.
The national average is $2.71, four cents lower than last week. Gas prices are lower than $2.75 in 65% of the country’s gas stations.
“While gas prices continue to drop, the rate at which they are decreasing has slowed,” said Jeanette Casselano, AAA spokeswoman. “On the week, most states saw cheaper pump prices of only a few pennies, and motorists can expect this trend to continue into early August.”
Crude oil prices increased by $1.71, and sit at $55.66 a barrel. New tariffs from President Donald Trump on Chinese imports, however, threaten to reduce global demand for crude oil, which would cause prices to decline further.
"Gas prices have remained somewhat stable in the last week, falling in most communities across the country as oil prices remain under fire over renewed concerns of an economic slowdown in the U.S. as President Trump slapped China with new sanctions, driving the worry," said Patrick DeHaan, head of petroleum analysis at GasBuddy.
"There's a growing threat that gas prices may plunge this fall — perhaps as much as 50 cents per gallon by Thanksgiving — as headwinds have killed off any demand growth and gasoline demand plummets after summer. It appears less and less likely that the trade spat between the world's two largest economies will cease any time soon, and that threat will likely stifle gas prices for the immediate future."