Weak economy and Europe issues mean no record gas prices this year
Back in January, I made a prediction that gas prices would easily top records this summer.
Was I right?
Not exactly, no. This year was an odd one for gas prices. Usually gas follows a pretty standard path, as it rises early in the year to reach summer highs, then falls for the rest of the year.
Things were different this time. Gas prices spiked early, and then actually fell as we got closer to memorial day.
The reason, is the the US economic growth disappointed, and worries in Europe kept oil prices low. Indeed, oil is under $85 today. Combined with a lack of “fear disasters” to spike up prices, oil valuations are actually being rational.