Ah, the plan is succeeding. When "they" saying it is going up 33%, then by golly it will jump to 43%.
Posted on 06/07/2022 10:31:52 AM PDT by Mount Athos
Consumers desperate for relief from the scourge of sky-high gasoline prices won’t get it soon.
In an update to their outlook for oil prices over the next 12-18 months, the team at Goldman warned that they now expect oil prices to rise to nearly $140 a barrel as early as this summer.
But to American consumers, it will feel more like oil is trading at $160 a barrel as limited capacity at the refineries that process crude into petroleum products like gasoline and jet fuel continue to struggle to ramp up their processing capacity swiftly enough to satisfy growing demand.
The price of oil has already surged more than 50% so far this year, driving the average price of gas in the U.S. to a record of nearly $5 a gallon, according to AAA. On Tuesday, the international and U.S. crude oil benchmarks — were trading near $120 a barrel.
And although the longest global oil supply deficit on record ended in April after nearly two years, the Goldman team expects a resurgence in Chinese demand will more than offset the surprising durability of Russian crude exports.
While OPEC+ agreed during its June meeting to boost production, Currie writes that members’ ability to aggressively accelerate drilling faces several challenges. One is that drilling activity has languished at half of its level from the first quarter of 2020 for the past 18 months, and any surge in production would likely take months to implement.
Another is the lack of an exemption for Russia from its OPEC+ quota at the June meeting.
As MarketWatch reported earlier this month, the lack of sufficient spare capacity represents a binding constraint for OPEC+ members trying to pick up the slack as Europe turns away from Russian crude.
(Excerpt) Read more at marketwatch.com ...
Now increase that by one third, or 33%.
That's the price you can expect for summer if my understanding of this article is correct.
Oil is currently 120 a barrel, but is projected to raise to 140. But they say the prices will be more like as if oil was 160 a barrel due to refinery capacity shortage.
That means an increase of 33%???
The places relying on tourist this Summer are going to take a big, big hit.
Making food and energy unaffordable for the majority of the citizens.
The stuff of revolution.
I’d like to see us go back to odd-even fueling days. On Odd days Republicans can feul up and on even days independents can fuel up. On leap year day, Democrats can fuel up.
Gas has gone up 60 cents in 4 weeks here in ND.
Filling up the Suburban is a little painful.
Ah, the plan is succeeding. When "they" saying it is going up 33%, then by golly it will jump to 43%.
That’ll put us over $6/gal here in MO. We’re at the lower end of the national scale of prices by state/locale.
Everyone is taking a big hit. They want you out of your gas car and into a $45,000 electric appliance. The plan is, after putting 50 million EV's on the road, the electric grid will overload and crash. Bet the rent.
The places relying on tourist this Summer are going to take a big, big hit.
*************
I don’t think so. The peeps have been cooped up too long and will go on their summer sojourns without hesitation. The pain will come later when they see their credit card bills and virtually everything they bought went up significantly in price.
They have their vacation binges now but the financial hangover is going to be a rough one.
I have a trip to Colonial Williamsburg planned for August. I’m dreading what it will cost just to get there and back. And I’m only coming from Pennsylvania.
LOL! Good one.
“ComeON MAN!!! We can go higher than that” - Brandon
“ComeON MAN!!! We can go higher than that” - Brandon
Probably looking at around $7/gal by Labor Day. This will minimally affect the election with the fraud machine already in place. Dems will hold congress in the end.
I am told many Third World populations won’t be able to afford food.
I suspect they’ll cut out many ~$10/gallon gasoline purchases first.
Vendor greed tends to lose out to would-be buyer poverty.
Whatever it takes to make democrat voters’ minds right.
Wait until it starts approaching and averages about $8.00+ bucks per gallon.
It will beat tourism like a drum.
Geez. I drive a hemi truck and 50 bucks might get me a half a tank. Looks like this summer I may have to start riding the Harley. But the traffic is terrible and there are idiots on the road. May look for some back roads to work.
There are others (B of A for example) who say it’s quite possible to hit $200 per barrel within the next 6-12 months. Don’t know if I believe that but in no way am I an expert on oil prices.
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