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U.S. Gasoline Demand Drops for Third-Straight Week

U.S. Gasoline Demand Cracks Deepen as High Prices Persist

High pump prices appear to be deterring U.S. drivers at a time when gasoline demand typically picks up with warmer weather.

A third straight weekly decline in gasoline demand brought the rolling four-week average to 8.76 million barrels a day last week, down by more than 4% compared with the same time in 2019, data from the U.S. Energy Information Administration show. 

Pump prices have hovered above $4.20 a gallon since hitting a record high earlier this month after Russian’s invasion of Ukraine tightened global oil supplies. High fuel costs are a key component of surging inflation and have become a key political challenge to President Joe Biden.

U.S. Gasoline Demand Drops for Third-Straight Week

The U.S. driving season typically begins in March with spring break and lasts through the summer. The drop in demand helped lift U.S. gasoline stockpiles above prior-year norms.

©2022 Bloomberg L.P.