Published January 2, 2026

As of January 2, 2026, the price of WTI Crude Oil is approximately $57.50 USD per barrel. The price of oil shown in the chart is adjusted for inflation using the headline CPI and is shown by default on a logarithmic scale.

1. The Era of Cheap Oil (1968–1972)

Before the formation of OPEC as a political force, oil prices were remarkably stable and controlled largely by the “Seven Sisters” (major US/European oil companies).

• 1968 Price: ~$3.00
• Context: Oil was abundant and cheap. The US was the world’s swing producer, and prices rarely moved more than a few cents.

2. The Oil Shocks (1973–1985)

Everything changed in the 1970s when control of pricing shifted from Western companies to Middle Eastern nations.

• 1973 (The First Shock): Prices tripled from $4 to $12 following the Arab Oil Embargo (Yom Kippur War).
• 1979 (The Second Shock): Prices doubled from $15 to $39.50 following the Iranian Revolution.
• 1980 Peak: Reached an inflation-adjusted high that wouldn’t be beaten until 2008.

3. The Great Collapse & The “Lost Decade” (1986–1999)

A massive oversupply (the “Glut”) caused prices to crash, leading to a long era of cheap energy.¹

• 1986 Crash: Saudi Arabia tired of cutting production and flooded the market.² Prices collapsed from $30 to $10 in roughly four months.
• 1990 Spike: Briefly hit $40 during the Gulf War (Iraq/Kuwait) but quickly fell back.³
• 1998 Low: The Asian Financial Crisis crushed demand, sending oil down to $11.90 per barrel.

4. The “Supercycle” (2000–2014)

Driven by the industrialization of China and India, demand exploded.⁴

• 2000-2007: steady climb from $25 to $90.
• 2008 Peak: WTI hit its all-time record of $147.27 in July 2008.
• 2008 Crash: The Global Financial Crisis sent it crashing down to $33 by December.
• 2011–2014: The “Hundred Dollar Era.” Prices stabilized over $100 for nearly three years due to the Arab Spring.

5. The Shale Revolution & COVID (2015–2021)

US Fracking technology flooded the market with new supply, breaking OPEC’s grip.

• 2014 Crash: Prices fell from $107 to $50 as OPEC refused to cut production to fight US shale.⁵
• 2020 (The Anomaly): During the pandemic lockdowns, demand vanished. On April 20, 2020, WTI futures briefly traded at negative -$37.63 (traders paid people to take the oil).

6. The War & The Correction (2022–2026)

• 2022 High: Russia’s invasion of Ukraine sent prices back to $123.
• 2023–2024: Prices slowly ground lower as interest rates rose and US production hit record highs.
• Late 2025/Early 2026: Prices have softened significantly to the $57–$60 range due to fears of oversupply and weak demand from China.⁶

Summary Table (Approx. Annual Averages)

Year	Price (Nominal)	Key Event
1968	$3.07	Pre-OPEC stability
1974	$9.35	Post-Embargo
1980	$37.42	Iranian Revolution peak
1986	$15.10	The Price Collapse
1998	$14.42	Asian Financial Crisis
2008	$99.67	The Supercycle Peak (Hit $147 intraday)
2016	$43.29	Shale Oil Flood
2022	$94.53	Ukraine War
2026	$57.50	Current (Jan 3)

https://www.macrotrends.net/1369/crude-oil-price-history-chart