- In Time for Holidays: More Gloom and Doom on Economy
- Turkey Day 101: How Well Do You Know Your Bird?
- US Home Prices Up 5th Month, 2nd Straight Quarter
- Holiday Guide to This Season's Smartphones
- Six Ways to Boost Your Income in a Big Way
- Buyers Look for Bargains at Luxury Condo Auction
- Ron Paul's Plan to Audit Fed a 'Serious Attack': Mishkin
- GM's Agreement to Sell Saab Unit Falls Apart
- Strong Banks, Weak Credit: Treasury Rethinks TARP
- Nov. 24: Unusual Volume Leaders
- NBA D-League On The Rise
- 3D's Tipping Point and Your Living Room
- On Twitter, Beware False Prophets
- My 2010 Home Price Outlook: UBS Analyst
- Why Are Options Piling into Dollar Tree?
- Novartis 'Cells' Its Flu Vaccine Technology
- Silicon Valley and Hollywood Now Fast Friends
- Markets Can Rise 5-10% in the Near-Term: Strategist
MOST SHARED
- The 'Real' Jobless Rate: 17.5% Of Workers Are Unemployed
- GM's Agreement to Sell Saab To Swedish Firm Falls Apart
- US Home Prices Up 5th Month, 2nd Straight Quarter
- Buyers Look For Bargains At Luxury Condo Auction
- FDIC Fund Falls into The Red, Bair Urges Lending
- Revised GDP Reading Puts Growth at 2.8%; Inflation Tame
- Behind The Scenes With Warren Buffett
- 10 Holiday Cocktail Recipes from Top Mixologists
- CA "More Profitable" After Saving Energy: CEO
- The L.A. Extravaganza: A Test for Auto Shows
Text Size 
The oil market is over-supplied, said Joe Petrowski, the CEO of Gulf Oil on Thursday. As oil stocks approach a 29-year high, the fundamental supply-side of the market has never been more bearish, he said.
"It will be almost impossible for gasoline prices to go up," he said. “We’re seeing a lot of resistance as prices get to $3."
The company’s Cumberland Farms, which serve over one million customers a day, for instance, saw their average gallon go from 11 to 8 in addition to declining inside ticket sales.
"The consumer is stressed here," said Petrowski. “Things on the retail level: switching to lower price products; going away from premium products; the average amount of gallons you sell per fill-up dropping."
The only danger to the upside, he cautioned, would be a financial collapse to the dollar or a massive shift from ETF funds into crude as an inflationary currency hedge.
"The Chinese hold aobut 1.5 trillion of US T-Bills. People forget that a five percent shift in [T-Bills], just by the Chinese, never mind the rest of the world, into crude and products is more than the open-interest on the NYMEX future exchange,” Petrowski said.
For More Energy News On CNBC.com:
- India, China to Raise their Retail Price of Oil
- Oil Falls Toward $67, Focus on Weak US Economy
- Oil Outlook for Second Half
Print
Email
- Remember when auto shows were major events where new models could generate buzz?
- A diet high in fat and sugar might actually be good for your portfolio.
- A new McDonald's in Manhattan is the nation's first to sport a sleek, chic interior imported from stores in London and Paris.
- Italians were outraged by a minister's comments that lunchbreaks are bad for waistlines and the economy.
- Playboy will outsource its publishing operations in a bid to become profitable again.
- For nearly three decades, these on-call experts have been dishing advice on how to – and not to – cook turkey.
Data is a real-time snapshot *Data is delayed at least 15 minutes