Israel-Hamas war will not immediately affect gas prices, analyst says
Posted October 10, 2023 4:19 pm.
Last Updated October 10, 2023 4:21 pm.
While it is very much a secondary consideration given the violence in Israel this past weekend, a gas analyst says the conflict should not immediately affect gas prices.
Roger McKnight, Chief Petroleum Analyst with En-Pro International, says no changes in the global market have yet been seen.
“Everybody seems to be sitting on the sidelines to see what’s actually going to happen. Israel doesn’t have any gasoline or any crude oil inventories to worry about, but that whole neighbourhood is sort of a powder keg,” he told CityNews.
McKnight acknowledges that the Israel-Hamas war is happening near major oil-producing countries, which could impact prices if they too get involved.
When looking at the futures market, McKnight says there’s nothing to suggest a spike in pump prices is coming.
“As it stands right now, there’s hardly any movement on the gasoline side that would indicate higher prices in the immediate future,” he said.
“Things aren’t going to happen overnight because there’s a long flow through on this whole supply issue.”
Last week, Metro Vancouver saw gas prices drop below 180/c per litre of regular for the first time in months. It was part of an anticipated decrease in fuel prices as a major oil refinery in California saw some issues resolved.
With files from Hana Mae Nassar