Oil prices predictions are heating up as the ongoing war between Russia and Ukraine brings with its disruptions to supply.
While there isn’t a sanction banning the import of Russian oil just yet, President Joe Biden’s Administration is reportedly warming up to the idea. If that happens, we can expect the price of oil to increase, which means consumers will pay more at the pump.
Let’s go over what this means for oil price predictions in the coming years below!
Oil Price Predictions 2022
For the current year, we could see oil prices rise sharply in reaction to sanctions and the war. Add in inflation and the price of oil is primed to explode in 2022. JP Morgan is predicting oil will hit $185 per barrel during the year. That would be a new peak price for crude oil and would result in even higher prices for consumers.
Oil Price Predictions 2025
While the current year is looking rough, crude oil prices could see a major drop in the upcoming years. According to the most recent oil price predictions from the U.S. Energy Information Administration (EIA), the nominal price for oil will be sitting at $66 a barrel in 2025.
Oil Price Predictions 2030
Looking a little further out, oil prices will slowly rise over time. this has the EIA predicting Brent oil prices will be at $89 per barrel. That doesn’t seem so bad compared to today’s price, which has Brent oil coming in at almost $130 per barrel.
So while investors can expect oil prices to decline in the near term, expectations are for the price of oil to slowly climb over the next several years.
Investors searching for more recent stock market news are in luck!
We’ve got all the latest stock happenings that traders need to know about for Tuesday! That includes this morning’s biggest pre-market stock movers, as well as the most recent Microvast (NASDAQ:MVST) and Rivian (NASDAQ:RIVN) stock news. You can find all of that at the links below!
More Tuesday Stock Market News
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
- Why Is Microvast (MVST) Stock Up Today?
- Dear Rivian Stock Fans, Here Are 3 Key Things to Watch When Rivian Reports Earnings
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.