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FRAMINGHAM, Mass. -- The price of oil is likely nearing a top and will fall beneath $100 a barrel by July 4, Gulf Oil CEO Joe Petrowski told CNBC this morning.
Consumers will put the brakes on car travel when gas reaches an average $4 a gallon, he said. At that price, it costs drivers about $50 to fill a gas tank, he noted, and that psychological level is the tipping point. The national average for the price of gas is currently $3.83.
"At these prices, and especially over time, people carpool, they bundle their trips," Petrowski said. "We're starting to see it at all our 3,500 locations."
The CEO believes the price of oil is currently within a few dollars of a top. "I don’t think we'll hit $125. I think by July 4 we'll be under $100," he added.
He also said world demand for oil is slowing. There are signs "this market is peaking out. I think we will see the peak, if we haven't seen it already, in the next three to four weeks."
To see the full interview, click here.