Crude prices finished last week more than 5% higher as the war entered its sixth month and negotiations to reopen the Strait of Hormuz have apparently stalled. With no peace deal in place, markets are increasingly concerned about global supply disruption as oil tanker traffic through the strait has slowed to a trickle.
Along with crude prices climbing back above $80 a barrel, pump prices have been affected by increasingly tight domestic gasoline inventory. The Energy Information Administration (EIA) last week reported a 1-million-barrel decline in gasoline stockpiles, which now stand 6% below seasonal averages. Continued high exports and steady domestic demand have been eating into inventories throughout the summer. Last week, the EIA reported that demand for gasoline settled at 8.96 million barrels a day, the first time in three weeks that demand was lower than the 9 million-barrels-a-day benchmark, but not low enough to stem the tide of supply declines.
“Prices at the pump have been trending down through August, but the decreases have slowed recently as markets monitor the status of the war and oil and gas shipments out of the Middle East, or lack thereof,” said Jillian Young, director of public relations for AAA Northeast. “As the summer driving season enters its final lap, drivers continue to pay significantly more for a gallon of gasoline than they did last year.”
AAA’s Aug. 17 survey of fuel prices found the national average up 6 cents from the prior week ($4), averaging $4.06 per gallon. The Aug. 17 national average price was 8 cents higher than last month ($3.98) and 93 cents higher than last year ($3.13).
As of Aug. 17, Louisiana and Indiana had the lowest prices in the nation at $3.56 and $3.58, respectively. California and Hawaii had the highest prices in the nation at $5.57 and $5.43, respectively.
| Region | Current Price* | One Week Ago | One Month Ago | One Year Ago |
| Rhode Island | $3.94 | $3.97 | $3.99 | $3.02 |
| Massachusetts | $4.02 | $4.04 | $3.99 | $3.05 |
| New Jersey | $3.96 | $4.02 | $3.99 | $3.03 |
| New York | $4.12 | $4.16 | $4.11 | $3.16 |
| Connecticut | $4.06 | $4.10 | $4.04 | $3.10 |
Gas Prices by State Over Time
*Prices as of Aug. 17, 2026
The AAA Gas Prices website is your resource for up-to-date fuel price information. Search for average gas prices on national, state and metro levels by regular, plus, premium and diesel.
Last updated on August 25, 2026 by AAA Staff
Based in Rhode Island, Jillian Young is AAA Northeast’s director of public relations. She regularly appears in local TV, radio and print media to discuss traffic safety, travel, insurance and more.
