Posted on 08/08/2008 12:40:03 PM PDT by NormsRevenge
LONDON (AFP) - Crude prices continued their dizzying spiral down on Friday, shedding nearly four dollars to trade below 114 dollars a barrel as the US currency strengthened amid concerns about energy demand, dealers said.
Brent North Sea crude for September delivery hit an intra-day low of 113.55 dollars a barrel. It recovered slightly to stand at 114.06 dollars, down 3.80 dollars, at about 1420 GMT
New York's main contract, light sweet crude for September stood at 116.28 dollars a barrel, down 3.74.
Oil futures have shed more than 20 percent in value since hitting record highs above 147 dollars per barrel on July 11.
Oil prices are "getting more and more pressure from dollar strength and it doesn't seem reversible for now," said Serge Laureau, commodities strategist at Saxo Bank in Copenhagen, quoted by Dow Jones Newswires.
The dollar struck a five-month high point against the euro on Friday on fading prospects of an interest rate rise by the European Central Bank, dealers said.
A strong dollar makes goods priced in the US unit more expensive for holders of weaker currencies.
In a move that sparked hope of an increase in oil supplies in the future, Iraq said it was resuming exploration activities after a break of nearly 20 years owing to crippling UN sanctions.
Iraq said it hoped to double its proven reserves of crude, adding that it wanted to ramp up output by 500,000 barrels per day from the current average production of 2.5 million bpd, about equal to the amount being pumped before the US-led invasion of March 2003.
(Excerpt) Read more at news.yahoo.com ...
Time to get the Tundra cleaned up and ready to use? :)
No wonder Russia is trying to start a war today.
all the short sellers (speculators) are running around looking for depends........
all the short sellers (speculators) are running around looking for depends........
$110, here we come.
They should call Senator ‘Leaky’ Leahy and ask him to open up his strategic reserve of depends.
Keep supporting our congress heros!!
We need a vote
Nazi Pelosi AmericanVoices@mail.house.gov
We need emergency session
President Bush comments@whitehouse.gov
202-456-1111
John Boehner invited McCain to join them
McCain needs to get his a$$ to Washington where he belongs
It will bring the much needed media attention
http://www.johnmccain.com/Contact/
While this may be good short-term news at the pump, I am afraid that we’ll just stick our heads in the sand until prices go shooting up again. Then, 10 years from now (if it takes that long), the Democrats will retire to the old refrain “Drilling won’t help prices until 10 years from now!”.
I’m fed up with the stupidity, lack of resolve, and betrayal by our leadership, both Donkeys and GOPers.
Huh - I they sold short, they should be rolling in profit?
$60 here we come.
Where we belong.
I’m glad we acted quickly in destroying what was left of
our auto and airline industry.
I need the price up around $200 so I can buy a cheap truck, then the price can slide to 60.
Please ?
We can just lead normal lives and not worry about anything. Why things are humming along so smoothly we can afford an Obama in the White House and a larger Democrat contingent in our beloved Congress.
Tuesday I picked up a V8 SUV at a severely distressed price. It was a true SWAG moment...'stolen without a gun.'
sounds good,, lots of ‘severely distressed prices’ out there,, I’m close to snapping up a V-6 something pickem-up .. it would be nice to be able to afford fuel for it.
This is mostly great news. The Euro needs to keep sinking, till it gets lower than .80, where it belongs.
From your lips to God’s ears, papasmurf.
Any time I can pay a third of Kelly Blue Book, I tend to stay smiley for a few days.
per top of the hour radio news,,
We had the largest single day positive change in the dollar versus euro ratio in eight years
I hear ya, the deals are out there.
Think the media will make a big deal out of oil dropping below $100...like they did when it went above $100?
Bush’s fault. Women, children, Polar Bears hardest hit.
I’m fed up with the stupidity, lack of resolve, and betrayal by our leadership, both Donkeys and GOPers.
Yup. The same happened in the 1970s.
I thought that a SWAG was a "Seriously Wild-Assed Guess".
I'm an engineer. I live in a world of SWAGs. :-)
Good economic news is bad news for democrats.
I'm guessing that you can still snag a cheap truck - the reaction in the car market will come more slowly.
You can't ignore history. History shows that Europe is inherently unstable (and violently so), whereas the US is inherently stable. A brief interlude of European peace doesn't change the mix. Soon enough, the EU will unravel and the Euro with it.
Bingo! Between Russia attacking Georgia and Iran threatening the Staits of Hormuz, we shouldn't see $60 oil for a while.
Gee what did Congress do to make this happen? Reagan was right markets work and governments don’t.
Well, some of them went on vacation. That couldn't have hurt.
Soros stopped selling dollars when he realized it was hurting the Democrats.
When dollar goes up, then oil goes down. Pressure to vote on drilling needs to be racheted up...before oil goes too low.
DeMint is heading up a “shutdown” of Captital Hill, if dems don’t act soon....didn’t hear all of it. Anyone know the plan?
At trade shows it’s Stuff We All Get.
Now just git that DJIA back up to above 14K+... And be quick about it!!!
You guys need to send me a reply of "thanks," all the rest of this week!!!
Think of the coast-to-coast trips you'll soon be able to take!!!
Definitely an idea. Noticed that all the better to do illegals in the area bought up all the big new SUVs recently. They paid less than half, and now there’s a chance they can afford to fill the tank.
hey, hey, that was my idea too but I just made it about two weeks ago. got a damn good deal.
I do. They’ll use it to attack new drilling.
I hope it gets to $60 but I doubt it very, very much. Supply and demand did work but at the cost of a second market crash, (one in March) in June from $4 gas and $5 diesel. Entire enterprises were swept away. Around where I live in Maine, people are doing desperate things. Maybe the demand has now lowered some and the Dems can kick in another couple of billion to the food pantries that are now full and clerks to for section 8 housing from people whom lost jobs in small business. Any good news is excellent news all things considering.
At my Engineering School, we learned it as a "Scientific Wild-Assed Guess"
8)
Strange take...
So there are concerns about reduced demand????
I favor this analysis
http://goldmoney.com/en/commentary.php
Short sellers got caught when old Europe propped up the dollar to keep it from cratering. Just a melt up on the melt down as they say, a blip on the long spiral down IMO.
All agree that the media does not tell the truth. But are they bashing the economy or just not telling us how bad things really are?
How about- student loan defaults, The Alt A loans, credit card defaults, auto industy in default due the crash in auto leasing, continuing loses in the investment banks, bank defaults, Retail store closings and bankruptcies, Insurance losses (AIG), Socialization of the biggest sector of our economy with the bailouts, social security etc.
To fix all this the government is going to socialize medicine and keep throwing as much money as it takes at the problems. Taxes are going up everybody will have less disposable income.
A traders horizon is day to day. An investor tries to look 1,5,10,20 years into the future.
5 years from now? I am following Dick Cheney’s lead and have my money invested out of the US. Dollar 0.10 in five IMHO
Oil is not a “monopoly” but a commodity.
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