The average price of regular unleaded has reached $2.86 per gallon, which is the highest level for the Fourth of July holiday in four years. Despite that increase, the average price has fallen 11 cents from Memorial Day levels, according to AAA.
"The national gas price average has held fairly steady for the past 10 days, suggesting that U.S. demand is keeping pace with supply and stabilizing summer gas prices," said Jeanette Casselano, a AAA spokesperson. "However, elevated crude oil prices and other geopolitical concerns could tilt gas prices more expensive in the early fall despite an expected increase in global crude production from OPEC and its partners."
Demand for gasoline has remained strong and it it continues to exceed $70 per barrel, prices should climb back to $3 per gallon in the coming months, Casselano said.
States with the least expensive average gasoline include South Carolina ($2.53), Alabama ($2.53), Mississippi ($2.53), Louisiana ($2.57), Arkansas ($2.58), Oklahoma ($2.59), Tennessee ($2.60), Virginia ($2.60), Missouri ($2.60), and Texas ($2.64). States with the largest monthly decreases include Delaware (18 cents), Illinois (16 cents), Indiana (16 cents), Florida (15 cents), Virginia (15 cents), Maryland (14 cents), Texas (14 cents), Georgia (13 cents), Iowa (13 cents), and Nebraska (13 cents).
Meanwhile, the average price of a gallon of diesel increased two cents to $3.236 per gallon, which is 76.4 cents higher than a year ago, according to the U.S. Energy Information Administration.