July 12, 2022
The Futures Market for Gasoline Predicts a Future Decline in Prices
The 103rd State of the Fleet Industry video produced by Automotive Fleet offers insights into the state of the fleet market as presented by AF Editor Mike Antich.
🎙Today's topics include:
- Decline in U.S. of gasoline consumption in the second quarter of2022 compared to same time last year due to demand destruction following a 61% increase in fuel prices.
- Gasoline future market had a 9.7% decline on July 5, 2022, signaling the market believes that future gasoline prices will be lower than those today.
- The anticipation of a recession in 2023 is putting downward pressure on gasoline futures.
- Higher mpg by SUVs and full-size trucks makes keeps them desirable to consumers despite higher fuel prices.
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⌚ Timestamps ⌚
1:20 U.S. Gasoline Consumption Declines in Q2 2022
2:24 Decline in Consumption has Nominal Impact on Fuel Prices
3:21 Futures Market for Fuel
4:42 Gasoline Futures Market Declined 9.7%
5:14 Anticipation of a Recession in 2023
6:14 Declining Impact of Higher Fuel Prices on Vehicle Acquisitions