Pump prices across the Northeast are stabilizing as petroleum markets react to ongoing geopolitical concerns. Supply and production hiccups from the massive winter storm affecting a large swath of the United States are also contributing factors.
The winter storm was expected to curtail production of gasoline and other refined products by between 100,000 and 150,000 barrels a day. Bitter cold ushered in behind the storm is also expected to create short-term supply woes due to increased heating demand, especially in the plains, Midwest and Gulf Coast. Those factors contributed to a slight increase in oil prices and higher commodity prices last week, including gasoline.
Meanwhile, strong domestic production and cratering gasoline demand is tempering the upward price pressure brewing in oil and gas markets. The Energy Information Administration (EIA) last week reported gasoline demand dipped to a three-year low, falling 470,000 barrels from the prior week to 7.83 million barrels a day. The last time demand was below 8 million barrels a day was January 2024. Supplies, unsurprisingly, grew by 6 million barrels as U.S. refineries continued to run near capacity ahead of the storm. Gasoline inventories have increased every week since the first week of November and are now 5% above the five-year average.
“Gasoline demand is deep in the winter doldrums — especially during cleanup from this weekend’s major snowfall — and that’s helping to keep pump prices stable for now,” said Jillian Young, director of public relations for AAA Northeast. “Even as markets are increasingly moved by geopolitical uncertainty, growing supplies and weaker demand serve as a counterbalance.”
AAA’s Jan. 26 survey of fuel prices found the national average up 6 cents from last week ($2.82), averaging $2.88 per gallon. The national average price was 4 cents higher than a month ago ($2.84) and 24 cents lower than this day last year ($3.12).
| Region | Current Price* | One Week Ago | One Month Ago | One Year Ago |
| Rhode Island | $2.82 | $2.82 | $2.89 | $3 |
| Massachusetts | $2.88 | $2.89 | $2.96 | $3.04 |
| New Jersey | $2.77 | $2.76 | $2.85 | $3.09 |
| New York | $2.97 | $2.97 | $3.05 | $3.17 |
| Connecticut | $2.84 | $2.85 | $2.96 | $3.09 |
*Prices as of Jan. 26, 2026
As of Jan. 16, Oklahoma and Arkansas had the lowest prices in the nation at $2.40 and $2.42, respectively. Hawaii and California held the highest prices in the nation at $4.40 and $4.24, respectively.
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.
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.
