Drivers have been able to save money at the pump over the last 50 days as gas prices have consistently decreased.
The bottle of champagne has not been opened by anybody as of yet. Despite the fact that fuel has contributed to the present cycle of record inflation,
There are still many other elements that, according to analysts, will prevent overall prices from decreasing anytime soon.
Even if gas prices have decreased from their all-time high in June, the longer-term forecast for oil indicates that limited supplies will keep prices high in the future.
Despite the fact that the price of gasoline reached an all-time high in the month of June, this continues to be the case.
Rob Haworth, a senior investment strategist at U.S. Bank Wealth Management, believes that the tensions between Russia and Ukraine are “a factor,”
But that “we had restricted supply leading into this.” “We believe that the conflict between Russia and Ukraine has to be settled as soon as possible.
On the other hand, I anticipate that the global economy will continue to experience a shortage of oil in the near future.”
Some energy experts believe that ongoing war between Russia and Ukraine, as well as the sanctions put on Russia by the Organization of the Petroleum Exporting Countries (OPEC),
Are limiting the amount of excess oil that can be sold on the world market. The oil cartel and its partners, together referred to as OPEC+,
Made an announcement last week on an increase in production of 100,000 barrels per day, which was less than what the market had expected.