OPEC’s decision to refrain from action had an immediate effect on crude oil prices. Prices sunk as it became clear Saudi Arabia is more concerned with losing markets share than the pressure low prices are putting on its cartel partners.
The International Energy Agency report confirmed market sentiment when it cut its global demand forecasts for 2014 and 2015 and pointing out that despite all of the conflicts going on in the world the market remains well supplied.
Yes, WTI prices have helped keep prices lower, but make no mistake, our lack of imports of gasoline has too. On the other hand, we should be careful about calling out crude prices for why the price at the pump rises, demand is better than ever.