Gas Prices to Hit $4 by Summer

January 31, 2008

(Long Island, N.Y.) According to experts in the World Oil Market industry, Gasoline and petroleum prices could skyrocket to about $4 per gallon by the end of summer this year. All indications pointed that way as prices per barrel of petroleum products continue to soar in the World Market as it settled at $92.33 a barrel on the New York Mercantile Exchange by the end of trading.

Although there are some reasons for optimism that a rollback in crude oil prices could be experienced after the Federal Reserve cut Interest rates again for the second time in Eight days, experts doubt whether it could sustain that trend in the long haul and even criticized the move made by the Federal Reserves in cutting the interest rates as it was not nearly enough of a cut in their estimation to maintain a positive gain in both the Stock Market and at the New York Mercantile Exchange to stave off a murky economic outlook.

In a recent study conducted by 40MPG.org, they had respondents of over 1000 Americans across the nation answer surveys for their own outlook and opinion on Petroleum products in general and the report intimated that 71% of Americans believe that gas prices could soar to over $4 per gallon corroborating the experts belief. “$4-a-gallon gasoline could be a real tipping point for the public in terms of an even bigger rush for hybrids, clean diesels and other highly fuel-efficient vehicles,” said 40MPG.org spokesperson Ailis Aaron Wolf.

This prompted the Auto manufacturers industry to roll out new models of vehicles that incorporate gas-saving engines and features such as the new Hybrid models which are starting to gain popularity in the industry and among general consumers. Still with these measures on hand, the Auto Industry expects to absorb losses and deep cuts in their earnings and profits this year due to consumers fear of gas increases, the sliding economy and the fear of Recession constantly a threat.

Posted by News LI Editor · Edited by Brianna - Filed Under Money