With fewer people on the road, retailers are seeing fuel demand drop, according to data released by a trade group representing the travel plaza industry.
And ask any economist what happens when a product’s supply is ample but demand is lower, they’ll tell you the price of the product is likely to fall.
Not so with gasoline and diesel fuel this year, based on demand data released by NATSO, the national association representing America’s travel plazas and truck stops. Demand for both gasoline and diesel dropped significantly in May, even while wholesale fuel prices continued to climb, the group said.
The number of gallons of gas sold fell nearly 3% in May, and diesel gallons sold dropped twice as much that month, by about 6%. During that same month, gas and diesel wholesale prices surged.