Energy Market Trends Ahead of Midterms
There is an unusual decoupling in energy markets, with gas prices decreasing and electricity prices increasing at extraordinary rates.
Labor Department data shows that the average cost of powering homes and buildings is trending upward, while prices at the pump are going down due to growing supply and tepid global oil demand growth.
According to the Energy Information Administration, the nationwide average gas price will be around $2.90 per gallon next year, about 6% less than this year.
Analysts believe sub-$3 per gallon gas could become a semi-permanent situation for the time being.
This dynamic creates uncertainty for candidates ahead of next year's midterm elections.
Author's summary: Energy market trends may impact midterm elections.