Domestic inventories of both crude oil and refined products, including gasoline, remain at levels considered comfortable for the season – even as Northeast inventories saw a 1.8 million barrel drop in gasoline inventories last week, according to the Energy Information Administration (EIA). Total domestic gasoline inventories remain higher than last year while the Northeast’s levels are now 55.3 million barrels, which is nearly 3 million barrels lower than this time last year but not so low as to spark supply concerns.
Gasoline demand, meanwhile, remained steady last week, topping 9 million barrels a day for a third straight week, according to the EIA. With refiners producing 9.7 million barrels of gasoline, domestic supply is meeting demand easily – with some extra breathing room.
Adding to the downward pressure on prices is the cost of oil, which remains in the low- to mid-$60 a barrel range. The recent decision by OPEC and its allied nations to boost production has led to markets worrying about an oversupply later this year with some analysts forecasting prices to dip below $60 a barrel by winter.
“Lower oil costs, steady demand and strong gasoline production is a recipe for lower prices at the pump,” said Mark Schieldrop, senior spokesperson for AAA Northeast. “While market conditions are conducive to lower prices through August, it’s important to keep an eye on geopolitical developments and hurricane activity in the Atlantic Ocean – both of which could upend markets in the short term.”
AAA Northeast’s Aug. 22 survey of fuel prices found the current national average down a penny from last week ($3.15), averaging $3.14 per gallon. Today’s national average price is the same as a month ago ($3.14) and 24 cents lower than this day last year ($3.38).
| Region | Current Price* | One Week Ago | One Month Ago | One Year Ago |
| Massachusetts | $3.05 | $3.05 | $3.05 | $3.39 |
| Rhode Island | $3.02 | $3.03 | $3.02 | $3.32 |
| Connecticut | $3.10 | $3.11 | $3.12 | $3.44 |
| New Jersey | $3.06 | $3.03 | $3.05 | $3.28 |
| New York | $3.15 | $3.16 | $3.17 | $3.52 |
*Prices as of Aug.22, 2025
Today, Mississippi and Oklahoma have the lowest prices in the nation at $2.68 and $2.70, respectively. California and Hawaii hold the highest prices in the nation this week at $4.51 and $4.46 respectively.
