A good hybrid for $4.00+ gas?
Oil prices almost $107 today
Oil prices are skyrocketing today, pushing towards $107 per barrel, and yesterday, gas prices topped $4.15 per gallon regular in my neighborhood.
While I’d bet there will be a pull back in oil prices tomorrow, as traders take some profits, $100+ oil and today’s gasoline prices are beginning to appear normal.
Libya is now almost certainly going to be a protracted affair. That alone will probably keep oil above $100. Yet there are far more wild cards that could easily push oil prices much higher. Additionally, Japan alone is going to have to increase natural gas, coal and oil consumption – regardless of price – due to the loss of nuclear power.
Eventually, of course, any number of factors could push oil prices lower, but without a huge embrace of natural gas or some kind of alternative form of energy, I’d bet today’s gas prices are typical of the future. Even more scary, today’s gas prices might be cheap compared to where we heading in the next few years.