Goldman expects oil prices to tumble

Goldman Sachs says it expects oil prices to tumble into the next year, as shale gas production grows and oil supply outstrips demand.

By Staff, with files from The Canadian Press | October 28, 2014 | Last updated on October 28, 2014

1 min read

Goldman Sachs says it expects oil prices to tumble in the next year, as shale gas production grows and oil supply outstrips demand.

The U.S. firm lowered its forecast for West Texas Intermediate crude to $75 a barrel in Q1 2015, from $90. Oil prices have steadily fallen from US$110 during the summer amid a supply glut.

Read: Why you should monitor energy trends

As a result of this news, oil prices slipped below the $US80 a barrel threshold on Monday. However, prices again found support early Tuesday, with December crude up 55 cents to US$81.55.

Meanwhile, some Canadians still worry about what will happen when gasoline prices rise.

In fact, 82% of British Columbians are concerned about gas prices, reports BCAA. And, while 63% think they know how to save for fuel, their behaviours are actually wasting money.

Read: Canadians spending too much on cars

“If you want to find the cheapest fuel, it’s important for people to monitor daily gas prices to find the lowest gas price nearby or along their commute,” says Ken Cousin, BCAA associate vice president of Road Assist.

Here are some tips to help clients save money on gas.

Top up whenever prices are low, and avoid driving out of your way and unnecessary idling.
Service your car regularly and keep tires properly inflated.
Use the appropriate fuel for your car.

Also, read these articles to help your clients budget.

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