Oil’s Jump Past $60 Pushes National Average to Largest Weekly Rise Since Summer
by: GasBuddy
Published: January 26, 2026
BOSTON...The nation’s average price of gasoline has risen 7.5 cents over the last week and stands at $2.84 per gallon, according to GasBuddy® data compiled from more than 12 million individual price reports covering over 150,000 gas stations across the country. The national average is up 3.6 cents from a month ago and is 23.9 cents per gallon lower than a year ago. The national average price of diesel rose 7.8 cents in the last week and stands at $3.543 per gallon.
“Average gasoline prices have jumped for a second straight week as oil prices have climbed back above the $60-per-barrel mark amid ongoing geopolitical tensions,” said Patrick De Haan, head of petroleum analysis at GasBuddy. “New sanctions on Iran’s oil are making it more difficult for those barrels to reach the market, tightening supply, while the major winter storm that sent temperatures plunging is also likely to impact refineries, causing disruptions and reduced output. Diesel prices have jumped as colder weather boosts demand for heating oil, a combination that could keep both gasoline and diesel prices moving higher in the week ahead.”
OIL MARKET DYNAMICS
Oil prices over the past week were driven by a tug-of-war between geopolitical risk and soft underlying fundamentals: ongoing tensions involving Russia and the Middle East, along with lingering concerns about potential supply disruptions, helped maintain a modest risk premium, while OPEC+ signaling continued production restraint provided additional support. Offsetting those factors, however, were signs of a persistent global supply surplus, rising non-OPEC output, and elevated inventories, which limited upside and kept prices range-bound. As a result, crude prices edged only slightly higher on the week, supported more by sentiment and policy signals than by a clear improvement in supply-demand fundamentals. In early Monday trade, a barrel of WTI crude oil was down 39 cents to $60.68, slightly higher than last Monday’s $59.17 per barrel fetch. Brent crude oil was also slightly lower in early Monday trade, down 33 cents to $65.55 per barrel, but still up from last Monday’s $63.07 per barrel fetch. “Supply disruptions in Kazakhstan and likely freeze-related shut-ins in the U.S. keep the oil market tight and prices supported for now,” said Giovanni Staunovo, UBS commodities analyst, in an e-mail. “The return of barrels from Kazakhstan could help ease that tightness and likely lead to modestly declining prices.”
OIL AND REFINED PRODUCT SUPPLIES
The EIA’s Weekly Petroleum Status Report for the week ending January 16, 2026, showed U.S. oil inventories rose by 3.6 million barrels and are about 2% below the seasonal average for this time of year, while the SPR rose 800,000 barrels to 414.5 million barrels. Gasoline inventories rose by 6.0 million barrels and are about 5% above the five-year seasonal average, while distillate inventories rose by 3.3 million barrels and are about 1% below the five-year seasonal average. Refinery utilization fell 2.0 percentage points to 93.3%, while implied gasoline demand, the EIA’s proxy for retail demand, fell 470,000 bpd to 7.834 million barrels per day.
GAS PRICE TRENDS
The most common U.S. gas price encountered by motorists stood at $2.99 per gallon, up 50 cents from last week, followed by $2.69, $2.89, $2.79, and $2.59, rounding out the top five most common prices.
The median U.S. gas price is $2.75 per gallon, up 6 cents from last week and about 9 cents lower than the national average.
The top 10% of stations in the country average $4.06 per gallon, while the bottom 10% average $2.27 per gallon.
The states with the lowest average prices: Oklahoma ($2.39), Mississippi ($2.39), and Arkansas ($2.40).
The states with the highest average prices: Hawaii ($4.28), California ($4.17), and Washington ($3.77).
Biggest weekly changes: South Carolina (+14.9¢), Ohio (+14.4¢), Virginia (+14.2¢), Oklahoma (+11.1¢), Florida (+10.1¢)
DIESEL PRICE TRENDS
The most common U.S. diesel price stood at $3.69 per gallon, up 30 cents from last week, followed by $3.49, $3.39, $3.29, and $3.19, rounding out the top five most common prices.
The median U.S. diesel price is $3.49 per gallon, up 10 cents from last week and about 5 cents lower than the national average.
Diesel prices at the top 10% of stations in the country average $4.33 per gallon, while the bottom 10% average $2.88 per gallon.
The states with the lowest average diesel prices: Oklahoma ($3.00), Texas ($3.07), and Colorado ($3.08).
The states with the highest average diesel prices: Hawaii ($5.18), California ($4.84), and Washington ($4.57).
Biggest weekly changes: South Dakota (+18.8¢), Iowa (+18.7¢), Ohio (+16.9¢), Nebraska (+16.1¢), Michigan (+13.6¢)