Higher For Longer, That’s The Story Of Oil And Gas Prices

BusinessEnergyHigher For Longer, That’s The Story Of Oil And Gas PricesByMatt Randolph,Contributor.Forbes contributors publish independent expert analyses and insights. Matt Randolph is a globally recognized oil and gas expert Follow AuthorMay 29, 2026, 03:48pm EDT--:-- / --:--This voice experience is generated by AI. Learn more.This voice experience is generated by AI. Learn more.ARCADIA, CALIFORNIA - MAY 11: An American flag flies above gas prices displayed at a gas station on May 11, 2026 in Arcadia, California. President Trump today said he wants to suspend the national gas tax amid elevated gas prices as the war in Iran continues. The gas tax currently stands at 18.4 cents per gallon for gasoline and 24.4 cents per gallon for diesel. (Photo by Mario Tama/Getty Images)Getty ImagesThis week executives from both Exxon and Chevron, two of the largest oil producers in the United States came out and said oil could hit 160 dollars within weeks. Senior Vice President of Exxon Neil Chapman warned at the Bernstein conference that inventory levels of crude and gasoline are at historic lows and are reaching their operational floor. Chevron Chief Executive Mike Wirth made similar statement and alluded to oil reaching those price levels in July. This is not a matter of politics or messaging; this is simply math. There may be no way of avoiding it.The Energy Information Administration is now reporting that gasoline inventories in the U.S. have fallen for 15 straight weeks, while this is not unusual for spring and early summer it’s the amounts that are staggering. Inventory levels for gasoline have dropped by 40 million barrels in that time and now sit 6% below the five-year average. What is even more concerning, is that all those big, beautiful tankers Donald Trump told us about coming to the United States are still coming and will be for quite some time. These tankers are here to take our gasoline, our diesel, and our jet fuel, not just oil. This is drawing our inventories d...