As Wyoming faces the real fallout of a potential non-existent rig count for the summer, the prices at the pump are reflecting the volatility in the market according to the American Automobile Association (AAA).

In April of 2019 the average price of gasoline was $2.88 per gallon in the United States. As of Monday April 27, 2020 the average price across the nation is $1.77.

“As gas prices continue to push cheaper across the country, only one dozen states carry an average of $2/gallon or more,” stated information from AAA. “Today’s national average is $1.77, which is four cents less than last week, 28 cents cheaper than last month and $1.11 less than a year ago.”

The cheapest prices in Wyoming this week are in Laramie where the Tumbleweed Express is posting fuel for just 99 cents per gallon. In Star Valley, fuel is averaging between $1.49 and $1.55 per gallon according to GasBuddy.com.

Crude oil prices were extremely volatile last week, pushing negative for the first time ever, but they did make significant gains to end the week in the positive. The Energy Information Administration (EIA) reported demand at 5.3 million b/d, a slight increase, but still an extremely low rate compared to last April’s 9.45 million b/d average. Low demand pushed gasoline stocks to increase for yet another week, this time by 1 million bbl to put total U.S. stock levels at 263 million bbl.

“AAA forecasts that the national average will continue to decrease into next month, possibly dropping as low as $1.65,” said Jeanette Casselano, AAA spokesperson. “We haven’t seen gas prices that cheap since January 2009.”

Some states could see minimal fluctuation at the pump in coming weeks if demand jumps as businesses are given the green light to re-open. However, this will not have a large impact for the majority of the nation’s motorists.

Idaho (-8 cents), Utah (-7 cents) and Montana (-6 cents) land on the top 10 list for the largest weekly decreases. Idaho’s decrease was the largest in the country. With the latest declines, Utah’s ($2.04) average is poised to fall below the $2/gallon mark this week. All other Rockies’ states have been below that price point for weeks and their averages today are: Colorado ($1.73), Montana ($1.81), Idaho ($1.84) and Wyoming ($1.90).

Regional refinery utilization bumped up by nearly 2% to 65%, while gasoline stocks decreased minimally by 200,000 bbl. Regional stock levels measure at 8.9 million bbl, which is one of the highest stock levels recorded by the EIA during the month of April. Gas prices are expected to continue to decrease in the week ahead and could again see some of the largest declines in the country.

At the end of Friday’s formal trading session, WTI increased by 44 cents to settle at $16.94 per barrel. Crude prices have recovered after turning negative last week for the first time since trading in 1983. Last week’s decline in prices has been attributed to many factors, including the inability of market traders who owned oil futures to find other market participants to sell their futures contracts to and limited available crude storage options.

Crude prices started to push more expensive by the end of last week in response to reports of the Organization of the Petroleum Exporting Countries reducing crude output before the May 1 start date of its 9.7 million b/d production reduction agreement for May and June 2020. Crude prices will likely remain volatile this week, as the market continues to assess how much crude demand will continue to fall during the ongoing pandemic.