After three years of low prices with supply consistently exceeding demand, crude oil prices have risen significantly this year. The prices are currently hovering around $120 a barrel. Continued sanctions on Russian oil exports, increasing energy consumption in China due to the lifting of COVID-19 lockdowns in the nation, and limited room for further releases from U.S. national reserves are some of the critical forces that could drive oil prices higher in the upcoming months.
Goldman Sachs has forecast that the Brent crude will climb to $140 a barrel in the next quarter, up from its previous estimate of $125 a barrel. Consumers are already paying through the nose for gasoline, with gasoline prices rising over $5 a gallon in many states. Rising crude oil prices would mean consumers would have to pay more for gasoline.
