Price At The Pump: Oil Prices Hold Steady, But That May Change

For the past couple of months, it’s been one step forward, then one step back for oil prices.  Patrick DeHaan with Gasbuddy.com said there has been a remarkable amount of counterbalance to anything that could impact oil prices up.

“I think a lot of this started in April when President Trump announced the tariffs," DeHaan said.  "There's been still a lot of economic concern, right, the Fed has been kind of on the fence about cutting interest rates, but now it really does appear things are more solidly softening in the economy.  And that's kept the market's attention away from other issues like Russia's invasion of Ukraine and continued bombardment by Ukraine on Russia's oil infrastructure.”

As of Tuesday morning, West Texas was trading slightly higher at $63 per barrel, while Brent Crude was also trading marginally higher at $67 per barrel.

When it comes to the future of oil prices, DeHaan said right now, it’s looks very challenging for oil prices to move higher than the $60 barrel range they’ve been in for several weeks.

“I think there's more downside risks. In fact, a lot of Wall Street's banks also see potential for lower oil prices," DeHaan noted.  "I think that is where the next move will be in the months ahead. We'll likely be oil prices slipping below the $60 barrel mark, especially considering that we're now entering a time of year that demand softens, temperatures cool off, Americans stay inside, more reducing consumption of fuels like gasoline and jet fuel now that summer vacations are over.”

For more of our conversation with DeHaan, and other factors he sees impacting oil prices as the 4th quarter continues, check out our Price at the Pump podcast:

Remember to join us Tuesday mornings during NW Ag Today for your PNW Ag Network Price at the Pump.

If you have a story idea for the PNW Ag Network, call (509) 547-1618, or e-mail glenn.vaagen@townsquaremedia.com