Analyst predicts gas prices will plummet rapidly, likening it to ‘wet feathers’

Analyst predicts gas prices will plummet rapidly, likening it to ‘wet feathers’


Gasoline prices are slowly pulling back from 2023 highs last month.​ But as crude continues to pull back, drivers can expect fuel costs to drop like “wet feathers,” says one oil⁢ analyst.

“Right now, if you are a gasoline shopper, you can find gasoline for less than $2.99/gallon⁢ in perhaps half of all states,” Tom Kloza, head of energy ​analysis at OPIS, told Yahoo Finance.

“We’re looking at a $0.25 to $0.50-per-gallon drop in retail that is virtually certain,”​ he noted. “It’s a glacial pace​ but it will be quite noticeable.”

Gasoline futures (RB=F) are⁣ forecasting the drop, down about ‍$0.43 in the last week. The current national​ average for retail gasoline is $3.77 ‍versus $3.84 a week ago, according to ‌AAA.

The prices of the various grades of gasoline available are⁢ displayed electronically on a pump at a filling station on Sept. 18, 2023, in Newcastle, Wyo. (David Zalubowski/AP Photo, File)

Much of the downward pricing pressure is due to demand, which is at the lowest⁤ seasonal ‍levels in…

2023-10-05 11:33:43
Article from finance.yahoo.com
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