Oil's recent bull move has some predicting further pain at the gas pump in 2022.
Gas price tracking outfit GasBuddy predicted in a new report on Tuesday — which it shared exclusively with CNN —that the national average price for gas will reach $3.41 a gallon in 2022 compared to $3.02 this year. GasBuddy didn't rule out gas prices hitting $4 a gallon by the Memorial Day holiday.
"No question about it," said Streible, on whether gas prices will march higher in 2022.
Streible thinks oil prices are at risk of hitting $60 in the near-term due to an Omicron-related demand slowdown. But that will likely prove to be a buying opportunity in front of a "long-term" rally in 2022.
"We are going to see the demand picture continue to pick up going into the [summer] driving season. Hopefully we can get this pandemic behind us. You'll see all that pent-up travel demand really take back off again. Flights were pretty full over the holiday weekend, but we expect them to get even fuller as the capacity picks up. If you look at the supply side on crude oil, we have 432 million barrels. The five-year average is 460 million, so supplies are quite tight. We don't expect OPEC to take any kind of reaction by picking up their supply picture. So we expect any kind of small supply shock would send prices higher. We are expecting $85 to $90 [a barrel] oil next year," said Streible on Yahoo Finance Live.
(Excerpt) Read more at finance.yahoo.com
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Nothing like giving Xiden that little EXTRA PUSH he needs to go to an all electric vehicle economy!
Gas price tracking outfit GasBuddy predicted in a new report on Tuesday — which it shared exclusively with CNN —that the national average price for gas will reach $3.41 a gallon in 2022 compared to $3.02 this year. GasBuddy didn't rule out gas prices hitting $4 a gallon by the Memorial Day holiday.
"No question about it," said Streible, on whether gas prices will march higher in 2022.
Streible thinks oil prices are at risk of hitting $60 in the near-term due to an Omicron-related demand slowdown. But that will likely prove to be a buying opportunity in front of a "long-term" rally in 2022.
"We are going to see the demand picture continue to pick up going into the [summer] driving season. Hopefully we can get this pandemic behind us. You'll see all that pent-up travel demand really take back off again. Flights were pretty full over the holiday weekend, but we expect them to get even fuller as the capacity picks up. If you look at the supply side on crude oil, we have 432 million barrels. The five-year average is 460 million, so supplies are quite tight. We don't expect OPEC to take any kind of reaction by picking up their supply picture. So we expect any kind of small supply shock would send prices higher. We are expecting $85 to $90 [a barrel] oil next year," said Streible on Yahoo Finance Live.
(Excerpt) Read more at finance.yahoo.com
--------------
Nothing like giving Xiden that little EXTRA PUSH he needs to go to an all electric vehicle economy!
