EIA estimates gas will average $3.20 in 2025
October 22, 2024
The weak outlook for crude oil demand growth has been one of the main reasons crude prices have been under pressure. The news that China’s central bank cut its lending rate by 25 basis points, which was more than the 10 expected helped to rally crude oil.
Israeli military stepped up operations against Palestine’s military yesterday and took over a hospital and shelters for displaced peopled in the northern GAZA strip. Israel also implemented missile strikes on targets in Lebanon that belong to Hezbollah’s financial arm. These activities raise the concerns that oil production or supplies get impacted or the conflict grows into a wider conflict and impacts energy and these concerns are still offering support to prices.
WTI crude oil prices have rallied the last two days but have not broken out of the trading ranges and are still in a downtrend. These markets are all balled up in congestion with tons of news and events current and on the horizon and no one know how these play out. The markets are just buying time waiting for the next shoe to drop.
The US Energy Information Administration in its latest Short Term Energy Outlook estimated that national gasoline price will average $3.20 per gallon in 2025, down from $3.30 this year and $3.50 in 2023.