Gasoline demand falls as prices rise: MasterCard

NEW YORK (Reuters) - U.S. retail gasoline demand fell last week, holding below year-ago levels for the seventh week in a row as high prices erode consumption, MasterCard Advisors said Tuesday.

American motorists pumped an average of 9.051 million barrels per day in the week that ended March 7, 1.1 percent lower than they did the previous week and 3.7 percent below the same week last year.

The four-week average demand, which is usually a more accurate reflection of longer-term trend, of 9.074 million bpd also showed a decline in demand of 3.4 percent versus last year.

Average gasoline prices rose 3 cents to $3.18 a gallon, the highest level since early June 2007 and the second-highest level on record, according to the report.

The U.S. Energy Information Administration will release its report on nationwide fuel inventories on Wednesday. A Reuters poll of industry analysts showed they anticipate a small decline in gasoline stocks.

MasterCard Advisors estimates retail gasoline demand based on aggregate sales activity in the MasterCard payments system coupled with estimates for all other payment forms. MasterCard Advisors is a unit of MasterCard Inc.

(Reporting by Richard Valdmanis; Editing by Marguerita Choy)