# US gas prices on May 8, 2026

On May 8, 2026

Updated: May 7, 2026

Category: Economics

Tags: Oil & Gas
Oil and energy
Econ Daily

HTML: /markets/economics/oil-gas/us-gas-prices-on-may-8-2026/

## Short Answer

**The model assigns meaningfully higher odds than the market for US gas prices on May 8, 2026, to be Above 4.535 (model 99.4% vs market 21.0%).** This divergence is driven by persistent geopolitical tensions, low product inventories, and bullish expert forecasts suggesting elevated or upward trending prices.

## Key Claims (January 2026)

**- - Persistent geopolitical tensions and low inventories likely keep gas prices elevated.** - Developments in the Strait of Hormuz could sharply impact crude oil prices.
- U.S. fuel inventories declined below average in early May 2026.
- Global oil forecasts for Q2 2026 indicate a high-price environment.
- U.S.-Iran ceasefire hopes showed signs of strain around May 5.

### Why This Matters (GEO)

- AI agents extract claims, not arguments.
- Improves citation probability in summaries and answer cards.
- Enables fact stitching across multiple sources.

## Executive Verdict

**Key takeaway.** **Model** sees **99.4%** **probability** vs **21.0%** **market** price, suggesting elevated gas prices and a 4.8x payout.

### Who Wins and Why

| Outcome | Market | Model | Why |
| --- | --- | --- | --- |
| Outcome | 21.0% | 99.4% | Model higher by 78.4pp |

## Model vs Market

- Model Probability: 99.4% (Yes)
- Market Probability: 21.0% (Yes)
- Yes refers to: Yes
- Edge: +78.4pp
- Expected Return: +373.3%
- R-Score: 11.20
- Total Volume: $32,168.34
- 24h Volume: $31,025.39
- Open Interest: $25,120.96

- Expiration: May 8, 2026

## Market Behavior & Price Dynamics

This market experienced a precipitous downward trend, defined by a single, dramatic price collapse. Opening at a very high probability of 97.0%, the market's sentiment completely inverted on May 07, 2026, when the price crashed 76 percentage points to settle at 21.0%. This severe drop appears to be a reaction to extreme volatility in the oil markets. Reports of a sharp, albeit temporary, decline in crude oil prices following an announcement concerning the potential reopening of the Strait of Hormuz may have triggered this rapid repricing, as traders quickly shifted their expectations about sustained high gas prices.

The trading volume provides insight into the conviction behind this shift. The market saw its highest volume during the price collapse, indicating that the move from 97.0% to 21.0% was a decisive and heavily traded event. This suggests the emergence of a new market consensus. The price action established a prior resistance level near 99.0% and has now found a strong support level at 21.0%, where it currently sits. Overall, the chart indicates a complete reversal in market sentiment, from near certainty that gas prices would be above $4.535 to a strong belief that they will remain below that threshold.

## Significant Price Movements

#### 📉 May 07, 2026: 76.0pp drop

Price decreased from 97.0% to 21.0%

**Outcome:** Above 4.535

**What happened:** The provided research found no evidence supporting a 76.0 percentage point drop in the "Above 4.535" outcome for US gas prices on May 7, 2026 [[^]](https://www.reuters.com/business/energy/us-gasoline-prices-top-450-gallon-summer-driving-season-nears-2026-05-05/)[[^]](https://www.cbsnews.com/news/gas-prices-450-when-will-gas-prices-go-down/)[[^]](https://oilprice.com/Latest-Energy-News/World-News/Average-US-Gasoline-Price-Tops-450-to-Near-Four-Year-High.html)[[^]](https://gasprices.aaa.com/). Conversely, available information from that period indicates that the U.S. national average regular gasoline price was rising, reaching $4.558 as of May 7, 2026, and had recently topped $4.50 [[^]](https://gasprices.aaa.com/)[[^]](https://news.bloomberglaw.com/environment-and-energy/us-gasoline-tops-4-50-a-gallon-for-first-time-since-july-2022)[[^]](https://www.cbsnews.com/news/gas-prices-450-when-will-gas-prices-go-down/)[[^]](https://sherwood.news/markets/us-national-average-gas-price-rises-25-cents-second-week-in-a-row-4-55/). Given the absence of any social media activity or traditional news identified that would cause such a significant market reversal, social media cannot be determined as a primary driver.

## Contract Snapshot

This market resolves to "Yes" if the average regular gas price for the United States is strictly greater than $4.555 on May 8, 2026, as verified by AAA (gasprices.aaa.com). Otherwise, it resolves to "No." Trading for this market closes on May 7, 2026, at 11:59 pm EDT, with a projected payout on May 8, 2026, at 10:05 am EDT.

## Market Discussion

Traders are divided on the direction of US gas prices for May 8, 2026, with some expecting a decline while others anticipate an upward climb by the end of the day. A key argument for higher prices (YES) stems from the belief that prices will rise if Iran does not agree to a current proposal, which is seen as currently causing stagnation. One notable strategy involves playing a spread, buying 'No' for a lower price threshold and 'Yes' for higher thresholds.

## What diplomatic or military developments concerning the Strait of Hormuz could trigger a sharp move in crude oil prices before May 8, 2026?

Global oil supply transit | One-fifth [[^]](https://www.cbsnews.com/news/iran-war-oil-prices-plummet-strait-of-hormuz-open/)[[^]](https://en.wikipedia.org/wiki/2026_Strait_of_Hormuz_crisis)[[^]](https://atlasinstitute.org/from-hormuz-to-home-when-geopolitics-reaches-the-doorstep/) |
Reported exchanges of fire | As of May 7, 2026 [[^]](https://www.theguardian.com/world/live/2026/may/07/middle-east-crisis-iran-trump-us-negotiations-deal-war-peace-proposal-hormuz-latest-news-updates)[[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://apnews.com/article/iran-us-israel-war-may-7-2026-fdc6d2ae9396377919c967746fa9996b) |
Prior blockade impact | Since February 28, 2026 [[^]](https://en.wikipedia.org/wiki/2026_Strait_of_Hormuz_crisis)[[^]](https://atlasinstitute.org/from-hormuz-to-home-when-geopolitics-reaches-the-doorstep/)[[^]](https://apnews.com/article/iran-us-israel-war-may-7-2026-fdc6d2ae9396377919c967746fa9996b)[[^]](https://www.youtube.com/watch?v=pDN2gCkxznI)[[^]](https://gulfnews.com/world/mena/defying-maritime-law-iran-imposes-new-shipping-rules-in-strait-of-hormuz-1.500532868) |

**Diplomatic and military developments in the Strait of Hormuz could sharply impact oil prices**

Diplomatic and military developments in the Strait of Hormuz could sharply impact oil prices. The Strait is a crucial chokepoint for approximately one-fifth of the world's oil supply, making any severe disruption a global concern [[^]](https://www.cbsnews.com/news/iran-war-oil-prices-plummet-strait-of-hormuz-open/)[[^]](https://en.wikipedia.org/wiki/2026_Strait_of_Hormuz_crisis)[[^]](https://atlasinstitute.org/from-hormuz-to-home-when-geopolitics-reaches-the-doorstep/). Key triggers for potential price surges before May 8, 2026, include the complete failure of ceasefire negotiations between the United States and Iran, and Iran's possible efforts to formalize its control over transit through the Strait [[^]](https://www.theguardian.com/world/live/2026/may/07/middle-east-crisis-iran-trump-us-negotiations-deal-war-peace-proposal-hormuz-latest-news-updates)[[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://gulfnews.com/world/mena/defying-maritime-law-iran-imposes-new-shipping-rules-in-strait-of-hormuz-1.500532868)[[^]](https://gulfnews.com/world/mena/truce-in-tatters-what-to-know-as-us-iran-tensions-flare-in-hormuz-after-gulf-attacks-1.500529675)[[^]](https://www.washingtonpost.com/world/2026/05/04/us-ships-iran-hormuz-ceasefire/)[[^]](https://www.theguardian.com/business/live/2026/may/06/oil-prices-retreat-global-stocks-hit-record-highs-trump-great-progress-iran-deal-live-updates)[[^]](https://cryptobriefing.com/china-urges-reopening-of-strait-of-hormuz-amid-us-iran-tensions/)[[^]](https://www.foxnews.com/live-news/iran-war-news-trump-strait-hormuz-oil-prices-project-freedom-may-6)[[^]](https://www.youtube.com/watch?v=31EJU7drxbA). These scenarios would likely incite **market** concerns regarding prolonged supply disruptions or elevated crude oil prices.

Failure of US-Iran ceasefire negotiations would likely increase oil prices. Should current talks, mediated by countries such as Pakistan and China, officially collapse, a return to heightened conflict would likely lead to an upward surge in oil prices due to fears of extended supply disruptions [[^]](https://gulfnews.com/world/mena/truce-in-tatters-what-to-know-as-us-iran-tensions-flare-in-hormuz-after-gulf-attacks-1.500529675)[[^]](https://www.theguardian.com/world/live/2026/may/07/middle-east-crisis-iran-trump-us-negotiations-deal-war-peace-proposal-hormuz-latest-news-updates)[[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://www.washingtonpost.com/world/2026/05/04/us-ships-iran-hormuz-ceasefire/)[[^]](https://www.theguardian.com/business/live/2026/may/06/oil-prices-retreat-global-stocks-hit-record-highs-trump-great-progress-iran-deal-live-updates)[[^]](https://cryptobriefing.com/china-urges-reopening-of-strait-of-hormuz-amid-us-iran-tensions/)[[^]](https://www.foxnews.com/live-news/iran-war-news-trump-strait-hormuz-oil-prices-project-freedom-may-6)[[^]](https://www.youtube.com/watch?v=31EJU7drxbA). The region is already highly volatile, with exchanges of fire between US and Iranian forces in the Strait reported as of May 7, 2026 [[^]](https://www.theguardian.com/world/live/2026/may/07/middle-east-crisis-iran-trump-us-negotiations-deal-war-peace-proposal-hormuz-latest-news-updates)[[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://apnews.com/article/iran-us-israel-war-may-7-2026-fdc6d2ae9396377919c967746fa9996b). President Trump has reportedly warned of military strikes resuming "at a much higher level and intensity" if Iran rejects a deal [[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://www.theguardian.com/business/2026/may/06/oil-prices-ease-and-markets-rally-as-trump-works-towards-deal-with-iran). Historically, optimism regarding a peace deal has caused oil prices to drop [[^]](https://www.theguardian.com/business/live/2026/may/06/oil-prices-retreat-global-stocks-hit-record-highs-trump-great-progress-iran-deal-live-updates)[[^]](https://www.youtube.com/watch?v=pDN2gCkxznI)[[^]](https://www.youtube.com/watch?v=31EJU7drxbA)[[^]](https://www.theguardian.com/business/2026/may/06/oil-prices-ease-and-markets-rally-as-trump-works-towards-deal-with-iran).

Iran's attempts to formalize Strait transit control could disrupt shipping. Such actions might involve imposing mandatory permissions or "toll fees" for passage [[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://gulfnews.com/world/mena/defying-maritime-law-iran-imposes-new-shipping-rules-in-strait-of-hormuz-1.500532868). These measures could cause further disruptions and higher prices, especially if shipping companies resist or if enforcement escalates into confrontations [[^]](https://www.cbsnews.com/live-updates/trump-iran-war-peace-deal-strait-of-hormuz/)[[^]](https://gulfnews.com/world/mena/defying-maritime-law-iran-imposes-new-shipping-rules-in-strait-of-hormuz-1.500532868). While Iran previously declared the Strait "completely open," reversing a blockade that had impacted traffic since February 28, 2026, it has also reimposed restrictions and established an agency to clear vessels, actions that defy international maritime law [[^]](https://en.wikipedia.org/wiki/2026_Strait_of_Hormuz_crisis)[[^]](https://atlasinstitute.org/from-hormuz-to-home-when-geopolitics-reaches-the-doorstep/)[[^]](https://apnews.com/article/iran-us-israel-war-may-7-2026-fdc6d2ae9396377919c967746fa9996b)[[^]](https://www.youtube.com/watch?v=pDN2gCkxznI)[[^]](https://gulfnews.com/world/mena/defying-maritime-law-iran-imposes-new-shipping-rules-in-strait-of-hormuz-1.500532868).

## How do current U.S. diesel and gasoline inventory levels, as reported by the EIA in May 2026, compare to their 5-year seasonal averages?

Gasoline Inventories (May 1, 2026) | 4% below 5-year average [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://boereport.com/2026/05/06/us-crude-stocks-gasoline-and-distillate-inventories-fall-eia-says-4/)[[^]](https://www.oilandgas360.com/crude-inventories-05-1/) |
Distillate Inventories (May 1, 2026) | 11% below 5-year seasonal average [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://www.eia.gov/dnav/pet/pet_sum_sndw_a_epd0_sae_mbbl_w.htm)[[^]](https://www.oilandgas360.com/crude-inventories-05-1/) |
Retail Gasoline Price (May 4) | $4.452/gal [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://www.eia.gov/petroleum/gasdiesel/) |

**Early May 2026 saw U.S**

Early May 2026 saw U.S. fuel inventories decline, below average. For the week ending May 1, 2026, U.S. gasoline inventories decreased by 2.5 million barrels (MMbbl) to approximately 220 MMbbl, positioning them **4%** below their 5-year average [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://boereport.com/2026/05/06/us-crude-stocks-gasoline-and-distillate-inventories-fall-eia-says-4/)[[^]](https://www.oilandgas360.com/crude-inventories-05-1/). Distillate (diesel) inventories also decreased by 1.3 MMbbl, reaching 102.3 MMbbl, which was **11%** below their 5-year seasonal average [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://www.eia.gov/dnav/pet/pet_sum_sndw_a_epd0_sae_mbbl_w.htm)[[^]](https://www.oilandgas360.com/crude-inventories-05-1/). This continued a trend from the prior week ending April 24, when gasoline inventories were **2%** below average and distillates remained **11%** below average [[^]](https://timdallinger.substack.com/p/eia-wpsr-summary-for-week-ending-84b). While crude oil stocks stood at 457.2 MMbbl, **1%** above the 5-year average, overall product inventories remained tight [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://www.oilandgas360.com/crude-inventories-05-1/).

Retail fuel prices experienced substantial week-over-week increases in early May. On May 4, retail gasoline was priced at **$4.452** per gallon, reflecting an increase of **$0.329** week-over-week, while diesel stood at **$5.640** per gallon, an increase of **$0.289** over the prior week [[^]](https://www.eia.gov/petroleum/supply/weekly/pdf/highlights.pdf)[[^]](https://www.eia.gov/petroleum/gasdiesel/).

## How does the macroeconomic impact of the 2026 energy shock compare to the 2022 shock, particularly regarding inflation and economic growth?

Oil Supply Drop (Hormuz closure) | 10-12 mb/d [[^]](https://www.ecb.europa.eu/press/key/date/2026/html/ecb.sp260506~1bbd4ed780.en.html)[[^]](https://www.worldbank.org/en/news/press-release/2026/04/28/commodity-markets-outlook-april-2026-press-release)[[^]](https://www.iea.org/reports/oil-market-report-april-2026) |
US Gas Prices May 2026 | ~$4.55+ [[^]](https://manifold.markets/vdb/will-us-average-gas-price-reach-469)[[^]](https://robinhood.com/us/en/prediction-markets/economics/events/us-gas-prices-on-may-5-2026-may-04-2026/)[[^]](https://robinhood.com/us/en/prediction-markets/economics/events/us-gas-prices-on-may-7-2026-may-06-2026/) |
Euro Area 2026-2028 Cumulative Inflation Increase | +1.5 percentage points [[^]](https://www.ecb.europa.eu/press/key/date/2026/html/ecb.sp260506~1bbd4ed780.en.html) |

**The 2026 energy shock features a substantial oil supply disruption**

The 2026 energy shock features a substantial oil supply disruption. The projected 2026 energy shock, potentially involving a 10-12 million barrels per day (mb/d) oil supply drop if the Hormuz Strait closes, is considered a greater initial impact than the 2022 Ukraine invasion [[^]](https://www.ecb.europa.eu/press/key/date/2026/html/ecb.sp260506~1bbd4ed780.en.html)[[^]](https://www.worldbank.org/en/news/press-release/2026/04/28/commodity-markets-outlook-april-2026-press-release)[[^]](https://www.iea.org/reports/oil-**market**-report-april-2026). However, the propagation of inflation from this 2026 shock is anticipated to be less severe compared to 2022 [[^]](https://economic-research.bnpparibas.com/html/en-US/Energy-shock-Dashboard-2026-2022-4/17/2026,53368)[[^]](https://www.capitaleconomics.com/blog/not-2022-why-energy-shock-demands-different-policy-response). This difference is attributed to weaker prevailing demand conditions and a neutral monetary policy stance [[^]](https://economic-research.bnpparibas.com/html/en-US/Energy-shock-Dashboard-2026-2022-4/17/2026,53368)[[^]](https://www.capitaleconomics.com/blog/not-2022-why-energy-shock-demands-different-policy-response).

The United States faces notable increases in energy prices. In the United States, gas prices are estimated to reach approximately **$4.55** per gallon or more in May 2026, which would mark the first time prices have exceeded **$4** since 2022 [[^]](https://manifold.markets/vdb/will-us-average-gas-price-reach-469)[[^]](https://robinhood.com/us/en/prediction-markets/economics/events/us-gas-prices-on-may-5-2026-may-04-2026/)[[^]](https://robinhood.com/us/en/prediction-markets/economics/events/us-gas-prices-on-may-7-2026-may-06-2026/). The US Consumer Price Index for March 2026 showed a month-over-month increase of +**0.9%** and a year-over-year increase of **3.3%** [[^]](https://piedmontcrescentcapital.com/consumer-price-index-march-2026-energy-shock-lifts-headline-core-inflation-remains-contained/). Within these figures, energy costs climbed +**10.9%**, with gasoline specifically rising +**21.2%** [[^]](https://piedmontcrescentcapital.com/consumer-price-index-march-2026-energy-shock-lifts-headline-core-inflation-remains-contained/).

Europe also anticipates significant economic repercussions from the shock. An adverse scenario for the Euro area in 2026 forecasts a cumulative inflation increase of +1.5 percentage points through 2028, coupled with an economic growth reduction of -0.8 percentage points [[^]](https://www.ecb.europa.eu/press/key/date/2026/html/ecb.sp260506~1bbd4ed780.en.html). Similarly, the United Kingdom's 2026 GDP growth projection has been revised downwards by 0.5 percentage points to **0.9%**, with consumer price index (CPI) inflation expected to peak at **4.1%** in early 2027 [[^]](https://niesr.ac.uk/reports/economic-outlook-spring-2026).

## How do the latest Q2 2026 global oil supply and demand forecasts from the EIA and OPEC support the current high-price environment?

EIA 2Q26 Brent Peak | $115/b [[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php)[[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php/)[[^]](https://www.eia.gov/outlooks/steo/pdf/steo_full.pdf) |
OPEC Q2 2026 World Oil Demand | 105.07 million b/d [[^]](https://www.reuters.com/business/energy/opec-lowers-second-quarter-global-oil-demand-forecast-iran-war-2026-04-13/)[[^]](http://stocks.us.reuters.com/business/energy/opec-lowers-second-quarter-global-oil-demand-forecast-iran-war-2026-04-13/)[[^]](https://www.oilmonster.com/article/opec-lowers-secondquarter-global-oil-demand-forecast-on-iran-war/8097) |
EIA 2026 Global Oil Demand Growth | 0.6 million b/d [[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php)[[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php/)[[^]](https://www.eia.gov/outlooks/steo/pdf/steo_full.pdf) |

**Global oil forecasts for Q2 2026 indicate a high-price environment**

Global oil forecasts for Q2 2026 indicate a high-price environment. The latest Q2 2026 global oil supply and demand forecasts from the EIA and OPEC consistently point to a high-price environment. This outlook is primarily driven by the EIA's projections of elevated Brent prices due to persistent supply disruptions, alongside OPEC's moderate demand adjustment, both of which suggest continued **market** tightness [[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php)[[^]](https://www.eia.gov/outlooks/steo/?rid=74)[[^]](https://www.reuters.com/business/energy/opec-lowers-second-quarter-global-oil-demand-forecast-iran-war-2026-04-13/).

EIA projects significantly higher Brent prices due to supply disruptions. The U.S. Energy Information Administration's (EIA) April 2026 Short-Term Energy Outlook forecasts Brent prices to average **$115** per barrel in Q2 2026, a notable increase from **$81** per barrel in Q1 2026. These elevated prices are expected to persist as supply disruptions linked to Hormuz are only projected to gradually ease, not returning to pre-conflict levels until late 2026. The EIA also reduced its global oil demand growth forecast for 2026 to an average of 0.6 million barrels per day, down from its previous forecast of 1.2 million barrels per day, citing revised demand-reducing impacts [[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php)[[^]](https://www.eia.gov/outlooks/steo/report/global_oil.php/)[[^]](https://www.eia.gov/outlooks/steo/pdf/steo_full.pdf).

OPEC moderately revised Q2 2026 demand, maintaining full-year outlook. Concurrently, OPEC, in its April 13, 2026 assessment, revised its Q2 2026 world oil demand forecast down by 500,000 barrels per day to 105.07 million barrels per day, from an earlier 105.57 million barrels per day. Despite this quarterly reduction, OPEC maintained its full-year 2026 consumption outlook, anticipating a rebound in later months. Both organizations' forecasts indicate a high-price environment for Q2 2026, with **market** tightness primarily originating from constrained supply through Hormuz rather than a significant collapse in demand [[^]](https://www.reuters.com/business/energy/opec-lowers-second-quarter-global-oil-demand-forecast-iran-war-2026-04-13/)[[^]](http://stocks.us.reuters.com/business/energy/opec-lowers-second-quarter-global-oil-demand-forecast-iran-war-2026-04-13/)[[^]](https://www.oilmonster.com/article/opec-lowers-secondquarter-global-oil-demand-forecast-on-iran-war/8097)[[^]](https://www.eia.gov/outlooks/steo/?rid=74).

## What Could Change the Odds

**The national average price for a gallon of regular gasoline in the U.S.** is hovering around **$4.558** to **$4.581** on May 8, 2026, continuing a slow but steady upward trend [[^]](https://www.9news.com/article/news/nation-world/attack-on-iran/average-gas-price-in-the-us-creeps-closer-to-5/507-224c059a-88a2-46ff-8a8a-5dea908fd70c)[[^]](https://ycharts.com/indicators/us_gas_price). This upward movement comes despite hopes of a U.S.-Iran ceasefire, which showed signs of strain around May 5, with renewed exchanges of fire in the Persian Gulf [[^]](https://www.9news.com/article/news/nation-world/attack-on-iran/average-gas-price-in-the-us-creeps-closer-to-5/507-224c059a-88a2-46ff-8a8a-5dea908fd70c)[[^]](https://www.home.saxo/en-gb/content/articles/macro/**market**-quick-take---5-may-2026-05052026). Key bullish catalysts include ongoing disruption in the Strait of Hormuz, which remains a significant geopolitical premium contributing to elevated oil and gas prices [[^]](https://www.lines.com/prediction-markets/finance/will-gas-hit-by-end-of-may)[[^]](https://energynewsbeat.co/uncategorized/goldman-says-global-oil-stocks-approaching-eight-year-low-depletion-speed-a-concern/)[[^]](https://ycharts.com/indicators/us_gas_price)[[^]](https://www.home.saxo/en-gb/content/articles/macro/**market**-quick-take---5-may-2026-05052026). Prediction markets on May 1 indicated a **100%** **probability** that gas prices would hit **$4.35** per gallon by the end of May due to persistent crude oil pressure and Hormuz disruption [[^]](https://www.lines.com/prediction-markets/finance/will-gas-hit-by-end-of-may). Global oil inventories are nearing eight-year lows, with a rapid depletion rate, and distillate stocks are about **11%** below the five-year average, raising concerns [[^]](https://energynewsbeat.co/uncategorized/goldman-says-global-oil-stocks-approaching-eight-year-low-depletion-speed-a-concern/). Increased demand is also anticipated ahead of the peak summer driving and travel season [[^]](https://www.9news.com/article/news/nation-world/attack-on-iran/average-gas-price-in-the-us-creeps-closer-to-5/507-224c059a-88a2-46ff-8a8a-5dea908fd70c)[[^]](https://energynewsbeat.co/uncategorized/goldman-says-global-oil-stocks-approaching-eight-year-low-depletion-speed-a-concern/).

**Conversely, factors that could subdue prices include one prediction market suggesting an 81% probability that WTI crude oil will fall to $95 by May 2026 [[^]](https://www.binance.com/en/square/post/05-04-2026-polymarket-predicts-wti-crude-oil-price-drop-by-2026-319388209412274).** JPMorgan forecasts Brent crude averaging around **$60** per barrel in 2026, citing a global supply surplus [[^]](https://www.mitrade.com/au/insights/stock-analysis/us-stocks/beincrypto-XOM-202605071010). The overall oil and gas **market** is entering a period where prices are flattening, with steady global supply potentially leading to softer commodity prices and uncertainty in gas markets [[^]](https://www.enverus.com/blog/**market**-signals-for-2026-what-operators-can-expect-as-the-cycle-slows/)[[^]](https://www.lathropgpm.com/insights/u-s-oil-and-gas-outlook-2026-how-energy-companies-can-navigate-a-plateau-year/). Additionally, U.S. crude oil output is at historic levels and is expected to plateau through 2026, with abundant supply potentially subduing prices and disincentivizing further production increases [[^]](https://www.lathropgpm.com/insights/u-s-oil-and-gas-outlook-2026-how-energy-companies-can-navigate-a-plateau-year/).

**Several industry conferences and events are scheduled for May 2026 that could influence market sentiment and activity [[^]](https://engine.com/business-travel-guide/oil-gas-conferences)[[^]](https://www.aogr.com/web-exclusives/calendar).** These include the Offshore Technology Conference (OTC) from May 4-7 in Houston, Texas [[^]](https://engine.com/business-travel-guide/oil-gas-conferences)[[^]](https://www.aogr.com/web-exclusives/calendar), API's 2026 Spring Refining and Equipment Standards Meeting from May 4-8 in Salt Lake City [[^]](https://www.aogr.com/web-exclusives/calendar), and the 25th WPC Energy Congress from May 26-30 in Riyadh, Saudi Arabia [[^]](https://www.aogr.com/web-exclusives/calendar). Other notable events are the 6th Annual Oilfield Water Markets Conference from May 5-6 in Irving, Texas [[^]](https://www.aogr.com/web-exclusives/calendar), the Eastern Kansas Oil & Gas Association Mid-Year Meeting on May 7 in Chanute, Kansas [[^]](https://www.aogr.com/web-exclusives/calendar), the 2026 Permian Basin API Sour Crude Scholarship Invitational on May 7 [[^]](https://allstreaminsiders.com/oil-gas-events/), the IADC Drilling Onshore Conference & Exhibition on May 14 in Houston, Texas [[^]](https://www.aogr.com/web-exclusives/calendar), and the Williston Basin Petroleum Conference from May 19-21 in Bismarck, North Dakota [[^]](https://www.kathairos.com/news/rsvp-north-americas-best-energy-oil-gas-conferences-and-events-in-2026)[[^]](https://www.aogr.com/web-exclusives/calendar)[[^]](https://allstreaminsiders.com/oil-gas-events/).

## Key Dates & Catalysts

- **Strike Date:** May 08, 2026
- **Expiration:** May 15, 2026
- **Closes:** May 08, 2026

## Decision-Flipping Events

- The national average price for a gallon of regular gasoline in the U.S.
- Is hovering around **$4.558** to **$4.581** on May 8, 2026, continuing a slow but steady upward trend [^] [^] .
- This upward movement comes despite hopes of a U.S.-Iran ceasefire, which showed signs of strain around May 5, with renewed exchanges of fire in the Persian Gulf [^] [^] .
- Key bullish catalysts include ongoing disruption in the Strait of Hormuz, which remains a significant geopolitical premium contributing to elevated oil and gas prices [^] [^] [^] [^] .

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- [Next Fed rate hike?](/markets/economics/fed/next-fed-rate-hike/)
- [US gas prices on Apr 29, 2026](/markets/economics/oil-and-energy/us-gas-prices-on-apr-29-2026/)

## Historical Resolutions

**Historical Resolutions:** 20 markets in this series

**Outcomes:** 8 resolved YES, 12 resolved NO

**Recent resolutions:**

- KXAAAGASD-26MAY07-4.610: NO (May 07, 2026)
- KXAAAGASD-26MAY07-4.605: NO (May 07, 2026)
- KXAAAGASD-26MAY07-4.600: NO (May 07, 2026)
- KXAAAGASD-26MAY07-4.595: NO (May 07, 2026)
- KXAAAGASD-26MAY07-4.590: NO (May 07, 2026)

## Disclaimer

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### Data Sources & Model Transparency

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**Freshness:** Analysis is generated periodically and may not reflect the latest developments. Verify critical information from primary sources.

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