The Cheap Days at the Gas Pump Are Over

This winter, Americans enjoyed a reprieve at the pump... Gasoline prices surged last summer. The national average eclipsed $5 per gallon in June. [Chaikin PowerFeed]( The Cheap Days at the Gas Pump Are Over By Briton Hill, analyst, Chaikin Analytics This winter, Americans enjoyed a reprieve at the pump... Gasoline prices surged last summer. The national average eclipsed $5 per gallon in June. But the average price plunged to around $3.10 per gallon by December. That's a nearly 40% drop in about six months. Don't expect the relief to last, though. In fact... it's already reversing. You see, last year, the U.S. government dipped into its strategic oil reserves to push down gas prices. It hoped to help Americans make ends meet as inflation remained a threat. And it worked. But now, we're on the verge of paying the consequences... Oil reserves are now at their lowest levels in nearly 40 years. And as I'll show you today, that's leading to serious ramifications for Americans and the energy industry as a whole... Recommended Links: [March 2: "Get Ready for a U.S. Dollar Collapse!"]( That's the newest warning from a 20-year market veteran who nailed the '08 Lehman collapse and '21 Nasdaq crash. He says a once-in-a-lifetime financial event is about to impact nearly every asset you own. Your cash, stocks, bonds... even your real estate is now in jeopardy. And the decisions you make on March 2 could impact your wealth for the rest of your life. [Click here for full details](. ["The EXACT Day Stocks Will Finally Bottom"]( Goldman Sachs doesn't know... Bank of America doesn't know... Morningstar doesn't know... but Marc Chaikin believes he does. He called the bottom in 2020, just 24 hours before the fastest bull market in history. Now, Marc has spotted the NEXT market bottom... and he's sounding the alarm. Plus, he's sharing the names of what he says will be the best - and worst - performing stocks of 2023. [Click here for full details](. First, look at this chart of the U.S Strategic Petroleum Reserve... [Chaikin PowerFeed] It's clear that the U.S. government dramatically drained our reserves to keep prices down. Now, it has no choice but to replenish them. The U.S. government started this process in December. And since then, gas prices are already up 10%. As I said, the average price of regular gasoline was roughly $3.10 per gallon in mid-December. Today, the average price is around $3.40 per gallon. This trend likely won't change any time soon, either... Spring is coming. Oil demand typically peaks in the summer. Peaking demand means higher prices – especially with reduced supply. And don't forget the political instability in oil-rich countries like Russia. To make matters worse, the U.S. won't be able to dip into its reserves like it did last year. So you might want to keep some extra cash as the weather gets warmer. If you're planning to do a lot of driving this summer, it could be more expensive than you think. But this shift will likely create a big opportunity for oil and gas companies... So far, the folks in power in the government right now have made life difficult for domestic oil producers. But even the strictest regimes can reverse course if times get too desperate... It happened recently when [China caved to COVID-19 protesters]( and reopened for business. And if gas prices surge high enough this summer, the U.S. government could give in, too. The U.S. government could provide relief for U.S. oil prices and replenish its oil reserves at the same time with one simple move. It could bring back domestic oil production. Specifically, I'm talking about reopening closed pipelines and refineries. Given the circumstances, this move seems inevitable. Without more domestic production, the prices at the pump will soar this summer. And the U.S. government knows it. With that in mind, we should keep our eyes on oil and gas "picks and shovels" companies. These companies build pipelines and supply refining equipment. And their businesses will soar if the U.S. government allows more domestic production to drive down gas prices. Today, the Power Gauge is all over this potential opportunity... Our system rates the SPDR S&P Oil & Gas Equipment & Services Fund (XES) as "bullish" today. Nine of its holdings are "bullish" or better. And none are "bearish" or worse. These companies will thrive if the U.S. government ramps up domestic oil production again. And given the dire situation with our reserves, it's likely only a matter of time. So keep these companies in mind during the months ahead. Good investing, Briton Hill Market View Major Indexes and Notable Sectors # Hld: Bullish Neutral Bearish Dow 30 -1.06% 9 17 4 S&P 500 -1.07% 140 273 86 Nasdaq -1.67% 28 51 21 Small Caps -0.94% 493 968 428 Bonds -1.30% — According to the Chaikin Power Bar, Small Cap stocks and Large Cap stocks are somewhat Bullish. Major indexes are mixed. * * * * Sector Tracker Sector movement over the last 5 days Energy +0.20% Materials -0.14% Staples -1.32% Financial -2.01% Health Care -2.64% Industrials -2.66% Information Technology -2.67% Utilities -2.73% Real Estate -3.74% Communication -3.81% Discretionary -4.46% * * * * Industry Focus Health Care Services 6 39 18 Over the past 6 months, the Health Care Services subsector (XHS) has underperformed the S&P 500 by -2.50%. Its Power Bar ratio, which measures future potential, is Weak, with more Bearish than Bullish stocks. It is currently ranked #19 of 21 subsectors. Indicative Stocks [rating] SGFY Signify Health, Inc. [rating] ACHC Acadia Healthcare Co [rating] RCM R1 RCM Inc. * * * * Top Movers Gainers [rating] EQT +6.89% [rating] LIN +4.75% [rating] EIX +4.21% [rating] CTRA +3.61% [rating] PCG +3.27% Losers [rating] ADSK -12.94% [rating] LYV -10.08% [rating] ADBE -7.63% [rating] ETSY -5.68% [rating] MRNA -5.63% * * * * Earnings Report Reporting Today Rating Before Open After Close VTRS OKE OXY, UHS PNW No earnings reporting today. Earnings Surprises [rating] FYBR Frontier Communications Parent, Inc. Q4 $0.96 Beat by $0.76 [rating] CRI Carter's, Inc. Q4 $2.29 Beat by $0.49 [rating] DINO HF Sinclair Corporation Q4 $2.97 Missed by $-0.63 * * * * You have received this e-mail as part of your subscription to PowerFeed. If you no longer want to receive e-mails from PowerFeed, [click here](. You’re receiving this e-mail at {EMAIL}. 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