Well, anyone that had held out hopes for oil prices coming back down in the near future is likely not that encouraged by recent news coming out of the market. With oil futures exceeding $127 for the first time in history, many of the different players involved have started creating projections for oil that do not look good for anyone interested in utilizing it as a long term product.

According to Goldman Sachs, they have raised their oil estimates of West Texas Intermediate oil to $141 a barrel in the second half of 2008. The previous estimate of $107 had to be revamped upward by a significant amount after oil prices rose a lot faster than the company had been forecasting. Furthermore, they are now also projecting that within the next half year to two years, oil prices will reach $200 a barrel. One can only imagine what gas prices will be like at the pumps when oil becomes that expensive.

Ultimately, what the most recent oil trends show is that people predicting that new deposits would eventually bring oil prices down are incorrect. Oil prices are never going to come back down at this rate, which means that people need to change their plans, investments and forecasts over to the assumption that oil prices are not only going to keep increasing, but that the rate of increase is likely to get higher as well over the course of time.

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