Oil Price Watch

[Chip Haynes]

If we get a strong winter in North America, that might drive oil prices up a bit, but as I understand it, every barrel of crude oil gets refined into heating oil, gasoline and whatever else they make of it. It's not like they can say, "Well, it's winter, so let's just turn it all into heating oil."

The bottom line: Maybe you should worry more about $5 heating oil than $3 gas.

 

[Sabotage]

81.4 and movin' up 

[Chip Haynes]

$81.71. Man, it's like Deja vu all over again!

 

[Doomerologist]

Gentlemen, place your bets! How high will it go!??

[Bill Hicks]

$3.00 gas here we come

$81.09

According to Marketwatch, the dollar broke the $1.50 mark against the Euro today.  This is so much beginning to look like a repeat of last summer.   

[kmaine2]

Bloomberg has it at 81.77

[Chip Haynes]

Make that $81.96.

Do I hear $82?

Anyone?

Anyone?

[Bill Hicks]

Bloomberg has it at 81.77

If it tops $100 in the next few weeks I predict all hell is going to break loose in the financial markets.  

[freeyourmind]

I saw it at 82 on yahoo, but it just fell back to 81.49

[Bill Hicks]

Isn't today the day the monthly contract expires?  If so, wherever it ends up, that will be the locked in price for all oil delivered in November.

[Chip Haynes]

Yeah, you're right, Bill.

Oil may drop tomorrow.

(Then again, it may not.)

 

[akaskip]

  $81.53 this morning

[Purloined]

Oil dropping fast today, along with DOW.  Comments?

[Bill Hicks]

Oil dropping fast today, along with DOW.  Comments?

WAY too early to tell, but this could be the beginning of a repeat of the deflationary crash of last fall.  Stocks collapse and there is a flight to the "safety" of the dollar.  Oil also drops with the realization that the only green shoots around are those the MSM has been smoking. 

It makes sense.  Stock prices are in no way, shape or form based on reality.  They have to crash sooner or later.  The recent run-up in oil prices was based mostly on a weak dollar and NOT on a world wide supply shortage.

 

[Chip Haynes]

It probably doesn't pay to watch the price of oil too closely (like constantly). It's almost as though high prices scare it, and it backs off a bit. The overall trend is certainly "up", though, and high prices outside the normal high-demand North American Driving Season ("NADS") ( ) should be cause for concern. We are steadily marching toward what might be termed a constant-demand situation, but, sadly, the acronym isn't nearly so funny.

Ah, well.