GasBuddy Blog

GasBuddy News Article

votes

U.S. oil prices could sink to $50

CNN Money -- U.S. oil prices could sink to $50 a barrel at some point over the next two years, according to analysts at Bank of America Merrill Lynch.

But don't expect a corresponding drop in gas prices.

Merrill analysts expect U.S. oil prices to still average about $90 a barrel over the same time period. Global oil prices meanwhile, which more closely dictate the price of gasoline in the United States, are expected to remain high as growth in global oil supplies lags population growth and economic output.
The drop in U.S. oil prices would likely be temporary, caused by the difficulty in moving huge amounts of new oil from places like North Dakota's Bakken shale or Texas' Eagle Ford to market. Already, all the new production has led to a glut of oil in the region.

Read the Full Article

Submitted Dec 12, 2012 By: BurntOrange

Back To News

Category: Daily News Article Discussions > Topics	Add to favorite topics

Author	Topic: U.S. oil prices could sink to $50	Post a Reply Back to Topics

REPLIES (newest first)Ignore Short Messages

First

Next Last

Badjef Champion Author Florida Posts:4,060 Points:820,765 Joined:Jan 2011	Message Posted: Dec 14, 2012 8:21:26 AM Ignore Badjef Report Abuse I keep hearing there is more Natural Gas than oil is being found in North Dakota. So, when you hear the word "gas", ask the person to make the distinction. Generally, Natural Gas is hit, first, though before the oil in the drilling process. Jeff in Sa-ra-so-ta!
wang91554 Champion Author San Jose Posts:3,185 Points:1,204,730 Joined:May 2009	Message Posted: Dec 13, 2012 11:20:16 AM Ignore wang91554 Report Abuse stupid analysts
paulp24 Champion Author Harrisburg Posts:4,557 Points:825,250 Joined:Dec 2010	Message Posted: Dec 13, 2012 10:01:36 AM Ignore paulp24 Report Abuse Bring it on
remay Champion Author Houston Posts:6,978 Points:2,119,565 Joined:May 2006	Message Posted: Dec 13, 2012 7:49:28 AM Ignore remay Report Abuse "...drop in U.S. oil prices would likely be temporary, caused by the difficulty in moving huge amounts of new oil ..." WHAT? That would mean a drop in SUPPLY, and HOW could that correspond to a drop in PRICE? Whatever!
tomok Champion Author Portland Posts:33,085 Points:2,348,435 Joined:Aug 2006	Message Posted: Dec 13, 2012 2:09:30 AM Ignore tomok Report Abuse U.S. oil prices could sink to $50? It could sink to $50 but it's highly unlikely. It would be nice if fuel prices would do the same, the more oil goes down, the more fuel prices at the pump goes down. The price at the pump needs to go down to $2/gallon, $3, $3.50/gallon or *$4.00 is Not the new low! Cheaper fuel prices, the better the economy will come back and the better 'Coming out of the closet' Sneeky's lousy, smoke and mirrors, lack of jobs, dog and pony show and in the crapper economy will come back that much faster. Sneeky's economy is not improving but continues to hurt the population and the job numbers continue to be down! The mindless Sheep that voted him back into office are also to blame for this lousy economy that does Not improve anytime too soon. Whatever the size or shape of the vehicle, vehicle manufactures Produce and the population ‘Drives’ vehicles with high MPG, are very safe, reliable, have a ‘reasonable’ cost and a good ‘value’ for the money. The price of fuel at the pump is too high! XII/XXII/MMXII!
SkooterG Champion Author Phoenix Posts:1,359 Points:330,085 Joined:May 2012	Message Posted: Dec 13, 2012 1:24:18 AM Ignore SkooterG Report Abuse Better lower than higher.
bston Champion Author Oklahoma City Posts:1,830 Points:644,975 Joined:Mar 2011	Message Posted: Dec 12, 2012 11:36:57 PM Ignore bston Report Abuse Typical; it figures!
jetskijerry Champion Author North Carolina Posts:3,911 Points:775,195 Joined:Mar 2011	Message Posted: Dec 12, 2012 11:10:03 PM Ignore jetskijerry Report Abuse no chance
ssect8 Champion Author Hartford Posts:8,004 Points:2,094,720 Joined:Jun 2006	Message Posted: Dec 12, 2012 11:07:01 PM Ignore ssect8 Report Abuse I wonder what these idiots at Bank of America are drinking and smoking?
BCM1 Champion Author Pennsylvania Posts:1,864 Points:782,995 Joined:Jun 2007	Message Posted: Dec 12, 2012 11:06:11 PM Ignore BCM1 Report Abuse Wishful thinking.
twiper1 Champion Author San Diego Posts:7,847 Points:1,608,985 Joined:Oct 2008	Message Posted: Dec 12, 2012 11:03:54 PM Ignore twiper1 Report Abuse I want some of what this writer is smoking!!!!
rahcat Champion Author Grand Rapids Posts:2,483 Points:665,125 Joined:Jan 2010	Message Posted: Dec 12, 2012 11:01:01 PM Ignore rahcat Report Abuse June 1998 $11.03 a barrel.
SparkieMi Champion Author Kalamazoo Posts:3,277 Points:591,330 Joined:Sep 2011	Message Posted: Dec 12, 2012 11:00:20 PM Ignore SparkieMi Report Abuse Great post by txkrk....
jackson661 Champion Author Columbus Posts:3,774 Points:1,479,660 Joined:May 2006	Message Posted: Dec 12, 2012 11:00:09 PM Ignore jackson661 Report Abuse ok
TheSnowstorm Champion Author Montreal Posts:8,634 Points:1,915,955 Joined:June 2005	Message Posted: Dec 12, 2012 10:58:49 PM Ignore TheSnowstorm Report Abuse More happy thoughts.... now let's get back to reality.
CCLighthouse Champion Author Hartford Posts:1,018 Points:215,955 Joined:Aug 2012	Message Posted: Dec 12, 2012 10:58:40 PM Ignore CCLighthouse Report Abuse We should be under $2.00 a gal.
Dodge_Me Champion Author Atlanta Posts:2,214 Points:558,480 Joined:Mar 2006	Message Posted: Dec 12, 2012 10:57:36 PM Ignore Dodge_Me Report Abuse Cool
clermont40miles Champion Author Cincinnati Posts:10,588 Points:1,774,820 Joined:Apr 2008	Message Posted: Dec 12, 2012 10:55:04 PM Ignore clermont40miles Report Abuse It ought to be $40 but I'll settle for $50.
carloco75 Champion Author Richmond Posts:3,721 Points:602,965 Joined:Oct 2010	Message Posted: Dec 12, 2012 10:53:28 PM Ignore carloco75 Report Abuse and...
jtfftj Champion Author New Hampshire Posts:2,182 Points:1,250,925 Joined:Sep 2005	Message Posted: Dec 12, 2012 10:52:22 PM Ignore jtfftj Report Abuse "...And a partridge in a pear tree."
WIWalt Champion Author Wisconsin Posts:1,744 Points:418,655 Joined:Mar 2012	Message Posted: Dec 12, 2012 10:52:14 PM Ignore WIWalt Report Abuse yeah, right.
wayoung56 Champion Author Alabama Posts:2,815 Points:821,260 Joined:Oct 2006	Message Posted: Dec 12, 2012 10:50:34 PM Ignore wayoung56 Report Abuse On can always hope, but NoBama will figure out some way to prevent it from happening...
arb0526 Champion Author Greensboro Posts:1,991 Points:413,545 Joined:Mar 2011	Message Posted: Dec 12, 2012 10:49:37 PM Ignore arb0526 Report Abuse It is possible when supply vs demand once natural gas which is plentiful takes hold.
DeeMamma88 Veteran Author San Bernardino Posts:352 Points:284,355 Joined:May 2012	Message Posted: Dec 12, 2012 10:46:22 PM Ignore DeeMamma88 Report Abuse They'll quickly find a reason to jack up our prices
txkrb Champion Author Texas Posts:1,563 Points:639,965 Joined:May 2011	Message Posted: Dec 12, 2012 10:45:27 PM Ignore txkrb Report Abuse We will never again see oil prices sustained below $60 a bbl The cost of exploration is too high, oil companies will not expend the money for exploration with a chance for recovery of the costs and most new wells have production costs of %50 a bbl or more They will shut down costly and marginal wells if the price drops near production costs
serrog Champion Author Nova Scotia Posts:5,579 Points:1,515,055 Joined:Oct 2008	Message Posted: Dec 12, 2012 10:45:03 PM Ignore serrog Report Abuse dreams?
fuelsaverMN Champion Author Twin Cities Posts:2,282 Points:559,080 Joined:Mar 2011	Message Posted: Dec 12, 2012 10:44:27 PM Ignore fuelsaverMN Report Abuse Would gas prices be under $2.00 a gallon?
fuelsaverMN Champion Author Twin Cities Posts:2,282 Points:559,080 Joined:Mar 2011	Message Posted: Dec 12, 2012 10:43:52 PM Ignore fuelsaverMN Report Abuse It would be nice if that happens but we will see.
fuelsaverMN Champion Author Twin Cities Posts:2,282 Points:559,080 Joined:Mar 2011	Message Posted: Dec 12, 2012 10:43:21 PM Ignore fuelsaverMN Report Abuse We will see if that happens.Would that mean lower prices aT THE PUMP.
mstearno Champion Author Dayton Posts:8,080 Points:1,734,140 Joined:Jan 2008	Message Posted: Dec 12, 2012 10:42:32 PM Ignore mstearno Report Abuse could?
Jeannemarie Champion Author Las Vegas Posts:27,700 Points:2,035,640 Joined:Aug 2005	Message Posted: Dec 12, 2012 10:41:39 PM Ignore Jeannemarie Report Abuse Be nice to have that going on but I doubt it would help much.
rjoeh Champion Author Michigan Posts:7,091 Points:2,472,765 Joined:Jun 2004	Message Posted: Dec 12, 2012 10:40:45 PM Ignore rjoeh Report Abuse You can bet on that for sure.
jhawkdville Rookie Author San Diego Posts:50 Points:30,475 Joined:Dec 2011	Message Posted: Dec 12, 2012 10:40:44 PM Ignore jhawkdville Report Abuse You can bet any "low" is only temporary!
Titan_62 Champion Author Maryland Posts:1,473 Points:331,180 Joined:Apr 2011	Message Posted: Dec 12, 2012 10:40:17 PM Ignore Titan_62 Report Abuse LOL... stop writing about it...(reporting it); Just Do It!
southrob Champion Author Tucson Posts:3,615 Points:691,100 Joined:Mar 2011	Message Posted: Dec 12, 2012 10:39:32 PM Ignore southrob Report Abuse good finally common sense sinking in... more oil means lower prices
Vitobug Champion Author El Paso Posts:1,955 Points:642,785 Joined:May 2011	Message Posted: Dec 12, 2012 10:38:40 PM Ignore Vitobug Report Abuse So does this mean that gas prices will drop by almost 50%?
tco9436 Champion Author Connecticut Posts:1,782 Points:724,975 Joined:Mar 2010	Message Posted: Dec 12, 2012 10:37:46 PM Ignore tco9436 Report Abuse Sure!
2granny Champion Author Michigan Posts:9,590 Points:1,469,180 Joined:Apr 2009	Message Posted: Dec 12, 2012 10:36:59 PM Ignore 2granny Report Abuse It would be nice to see pump prices drop.
s6sputnik Champion Author Austin Posts:6,222 Points:1,310,380 Joined:Jun 2007	Message Posted: Dec 12, 2012 10:34:50 PM Ignore s6sputnik Report Abuse Sure!
troutbum7 Veteran Author Nevada Posts:308 Points:158,955 Joined:Oct 2012	Message Posted: Dec 12, 2012 10:32:27 PM Ignore troutbum7 Report Abuse Surewatcher is right this is the first wave of the storm that is coming batten down the hatches,it is going to be a rough one hopefully we will surface from it.
wcp3rd All-Star Author New Jersey Posts:739 Points:363,350 Joined:Mar 2012	Message Posted: Dec 12, 2012 10:31:19 PM Ignore wcp3rd Report Abuse when I see it at the pumps I'll believe it
regout Champion Author Quebec Posts:2,965 Points:834,655 Joined:May 2010	Message Posted: Dec 12, 2012 10:30:03 PM Ignore regout Report Abuse Another good news but we will belive it when it will happen.
RitaVespa Champion Author Oregon Posts:2,996 Points:795,285 Joined:Jan 2011	Message Posted: Dec 12, 2012 10:27:51 PM Ignore RitaVespa Report Abuse Wonder if the price at pump will drop accordingly
charg3rguy1991 All-Star Author Greensboro Posts:774 Points:246,425 Joined:Sep 2012	Message Posted: Dec 12, 2012 10:27:47 PM Ignore charg3rguy1991 Report Abuse here's hoping
suzmar Champion Author Texas Posts:2,213 Points:874,085 Joined:Jun 2006	Message Posted: Dec 12, 2012 10:25:39 PM Ignore suzmar Report Abuse I agree with surewatcher!
bigdipperMS Champion Author Mississippi Posts:1,526 Points:539,680 Joined:Apr 2011	Message Posted: Dec 12, 2012 10:25:29 PM Ignore bigdipperMS Report Abuse Cannot see oil below $80 per barrel for a very long period of time.
Gas4Gore Champion Author Detroit Posts:2,436 Points:426,800 Joined:Jan 2010	Message Posted: Dec 12, 2012 10:23:57 PM Ignore Gas4Gore Report Abuse Okay!
Darwin00 All-Star Author Mississippi Posts:832 Points:272,495 Joined:Dec 2010	Message Posted: Dec 12, 2012 10:23:56 PM Ignore Darwin00 Report Abuse ummmm
Gary9696 Champion Author Detroit Posts:1,129 Points:231,680 Joined:Jul 2008	Message Posted: Dec 12, 2012 10:20:42 PM Ignore Gary9696 Report Abuse Obama is going to fix everything right. Isn't that why he was re-elected?
v3zx Rookie Author Atlanta Posts:15 Points:32,975 Joined:Aug 2012	Message Posted: Dec 12, 2012 10:20:23 PM Ignore v3zx Report Abuse interesting