The start of the new year saw an increase in gas prices, with the national average price for a gallon of gasoline costing $2.49, an increase of five cents on the week. One year ago, the price was $2.35. The New York State average is $2.64, up two cents from last week. A year ago, the NYS average was $2.53.
While the price of gasoline in Buffalo is unchanged from a week ago at $2.62, the price in Rochester is up two cents to $2.56 per gallon.
High travel volumes over the holidays are to blame for the slight increase in prices. With the holiday season behind us, motorists can expect gas prices to trend cheaper this month as demand decreases. The latest Energy Information Administration (EIA) report measures gasoline demand at a strong 9.5 million b/d, which is typical of the holiday season. However, historical data shows that in early January demand typical drops and stays below the 9 million mark for the first few months of the year.
