[5] Along with Carter County, the city is closely associated with the nearby Huntington-Ashland, WV-KY-OH Metropolitan Statistical Area and is often erroneously included in the MSA being just 9 miles west of the MSA's western boundary.

[citation needed] The city has grown in size substantially since the opening of Interstate 64 in 1975 through Carter County.

Immediately afterwards, Grayson experienced several years of commercial sector growth, mainly to serve the Interstate 64 traffic.

Since 1990, the city has also seen significant growth in the residential sector with the Interstate making for a faster trip to and from Ashland.

Beginning in 1995, AA Highway terminates in Grayson making the city a gateway to the Huntington-Ashland urban area.

Interstate 64 runs through the northern end of the city, with access to KY 7 at Exit 172.

Kentucky Route 9, the AA Highway, begins from KY 1-and-7 just north of the city limits and runs 111 miles (179 km) to the Cincinnati area.

[5] The climate in this area is characterized by hot, humid summers and generally mild to cool winters.