Expert not forecasting big gas hikes because of Iran
One oil analyst says we can expect gas prices to wobble a bit behind recent rising Mideast tensions, but that's all.
Tom Kloza, global head of energy analysis for the Oil Price Information Service says, crude oil and gas prices might be slightly effected while heating oil will not.
Commenting on the unsettle situation with Iran, Kloza adds, "there's certainly a threat of Middle East violence and more violence. But I would say the threat is just as much for soft targets than it is the oil logistics."
Kloza says heating oil, already priced at a wide margin, is not likely to be affected by events.
He says the major factor that's likely to insulate us from big gas price hikes is that we have almost three times as much crude oil production in the United States versus the recent past, and more from Canada.
Following President Donald Trump's order to kill Iranian Gen. Qassem Soleimani in Iraq last week, Iran launched missiles at U.S. military installations in Iraq this week.
He says this may be a big deal for Middle East politics, "but I don't think it's a big deal for oil prices, even though oil prices have become the touchstone when you have any kind of Middle Eastern violence."
"Gasoline prices are going to go up in New Jersey and elsewhere, but they're going to go up during the typical time frame, which is when the ballplayers report for spring training. So we are going to see an increase. It'll be the seasonal increase. But we are not looking at apocalyptic prices," he said.
Right now, the New Jersey average for regular is $2.65-a-gallon, up from $2.61 a week ago, according to AAA.
Joe Cutter is the senior news anchor on New Jersey 101.5