The Organization of Petroleum Countries has kept up production to pressure high-cost rivals, such as the developing U.S. shale oil producers. The International Energy Agency expects it will take several years before OPEC can effectively price out high-cost producers. [Oil ETFs Face World-Record Supply Glut]
IEA believes supplies outside of OPEC will dip next year by the most since 1992 as cheap crude helps price out costlier producers, such as the U.S. shale oil industry.
“Cheaper gas at the pump could result in a savings in gasoline costs for consumers of $8.2 billion over last year in the 40 shopping days leading up to Christmas, Kloza said. The savings is more than $16 billion over 2013’s level,” according to CNBC.
United States Gasoline Fund
