Oil Eases From Three-Day Gain With Focus on Middle East, Russia

• Geopolitical tensions, particularly Iran's actions and the Russia-Ukraine war, are seen as influencing US midterm elections and contributing to current high energy and food prices.
• McGlone predicts a 'significant collapse' in energy prices (oil, natural gas) by year-end, driven by demand destruction, increased US supply, and the impact of high bond yields and Fed tightening.
• Consumers face substantially higher heating oil bills (up 129% YTD in the Northeast), while natural gas prices are currently weak, and US government efforts to lower prices are deemed 'desperate delusion'.

Mike McGlone, Bloomberg Intelligence Senior Commodity Strategist, discusses how geopolitical tensions in the Middle East and Ukraine are influencing US midterm elections and contributing to high energy prices. He anticipates a 'significant collapse' in energy prices towards year-end due to demand destruction, increased US supply, and rising bond yields, despite current high heating oil costs for consumers.