DEARBORN, Mich. – In Michigan, gas prices have dropped 10 cents from a week ago.
As per AAA of Michigan, drivers are spending an average of $3.27 per gallon for regular unleaded gas. This price is slightly less than the national average which currently sits at $3.31 per gallon.
On average, a full 15-gallon tank of gasoline is costing motorists $49 which represents a discount of roughly $29 from 2022′s highest price recorded last June.
New data from the Energy Information Administration (EIA) is showing that gas demand decreased from 9.49 to 8.95 million b/d. The EIA’s projection for demand is unusually high for early November, but when the EIA releases monthly demand data in a few weeks, this could revised lower. In the interim, total domestic gasoline stocks decreased by 1.5 million bbl to 215.7 million bbl. Lower gas demand, alongside declining oil prices, has all played a part in pushing pump prices down. With more than 1.5 million Michigan residents expected to take to the road this Thanksgiving, it is projected that drivers will be faced with busy roadways and lower gas prices.
At the close of Wednesday’s formal trading session, WTI decreased by $1.60 to settle at $76.66. Oil prices declined as a result of reduced market concerns that the conflict in the Middle East will escalate, which could lead to a reduction in regional oil production and higher prices. Additionally, the EIA did report that total domestic commercial crude inventories increased by 3.6 million bbl to 439.4 million bbl.
“Michigan motorists are seeing lower pump prices ahead of Thanksgiving,” said Adrienne Woodland, spokesperson, AAA-The Auto Club Group. “If gas demand and the cost of oil remain low, drivers could see gas prices continue to fall heading into the holiday.”
Around the Upper Peninsula, the lowest average price is to be found in Dickinson County at $2.92 per gallon while the highest is in Alger and Mackinac Counties at $3.56 per gallon.
— with files from uppermichiganssource.com