Chattanooga gas prices jumped last week by an average of 16.3 cents per gallon, rising to the highest level since last February as oil prices jumped around the world to the highest level in nearly a year.
The average price of regular gas rose to $2.09 per gallon in Chattanooga, up 24.7 cents from a month ago but still 16.1 cents a gallon below a year ago at the start of 2020, according to GasBuddy's daily survey of 170 area stations. Local prices at the pump were still 22 cents a gallon below the U.S. average of $2.31 per gallon for regular gas on Sunday, but the weekly jump in Chattanooga fuel prices was one of the biggest in the past year
"With oil's meteoric rally continuing, motorists continue to face gas prices that continue to advance," said Patrick De Haan, head of petroleum analysis for GasBuddy. "With a barrel of crude oil now at its highest level in nearly a year, there's nowhere for gas prices to go but up."
Traditionally, De Haan said gas prices moderate in January as gasoline demand drops following the holiday travel season.
"Gasoline demand is indeed seeing seasonal struggles, but that has not tempered the appetite of the market as many remain bullish over the continued roll-out of a COVID-19 vaccine,' he said. "How long we may be on this road relies on continued reduction in new COVID cases, but we may for the coming weeks seeing gas prices continuing their climb."
— Compiled by Dave Flessner