Isn't amazing how things can change in a few months? You all remember what happened in July this summer when crude oil prices reached a record-breaking $147 a barrel pushing average prices at the U.S. pumps over $4.10 a gallon. Well, now Merrill Lynch Commodity Strategist Francisco Blanch and Gulf Oil CEO Joe Petrowski are both predicting that crude oil prices may very well fall below $25 a barrel by early next year resulting to an unthinkable, up until now, drop in gas prices to below $1 a gallon! "A temporary drop below $25 a barrel is possible if the global recession extends to China and significant non-OPEC cuts are required," Blanch said. "In the short-run, global oil demand growth will likely take a further beating as banks continue to cut credit to consumers and corporations."
Speaking at a South Shore Chamber of Commerce on Wednesday, Joe Petrowski, CEO of Massachusetts-based Gulf Oil said that that the price of oil could sink to as low as $20 per barrel which could lead to gasoline prices dropping under $1 per gallon by early next year.
On Friday, crude oil prices fell to $43.64 a barrel with gas prices in the U.S. currently at $1,77 a gallon compared to $2.37 a month ago and $3.03 a year ago, according to AAA.
Sources: Fox News and Patriotledger
5 Comments:
Reminds me of the Depression-era saying: "Bread cost only a nickel, but you didn't have a nickel".
Yay! Mid-90's gas prices again!!
the price should always be like this. Those A-RABS are rich to begin with.
Actually, it should be them to pay for the ballout. No cars= no oil.
I also believe the Opec countries should bail out all the car companies,also F1,it's them that benifet from all the fuel sales.
Yeah, right! It´s a real pleasure again to visit your local gas station. Especially with gas prices like over here in Germany: around 1.10 Euros per liter - which should be roundabout $5.30 per gallon...
Post a Comment