Posted on 10/11/2006 12:21:19 PM PDT by soccer_maniac
SAN FRANCISCO (MarketWatch) -- November crude dropped 93 cents to close at $57.59 a barrel Wednesday, marking the contract's weakest closing level since June 2005 as traders eyed the latest news from key oil producers and awaited Thursday's data on U.S. petroleum supplies. November unleaded gasoline fell 1.65 cents to close at $1.4503 a gallon and November heating oil closed at $1.672 a gallon, down 0.89 cent. November natural gas fell 31.6 cents, or 4.9%, to end at $6.15 per million British thermal units
(Excerpt) Read more at marketwatch.com ...
KARL.............................................................................................................................................................................................................................
Can someone please explain in simple terms why the price of crude is falling? Thanks.
Don't worry somebody will fart near an oil field and they will rise on that news.
No hurricanes and a predicted milder winter. Speculators are acting pretty comfortable right now.
Someone needs to post the Patton RYMB graphic.
Aboluby
I think part of it must be a bubble bursting. It was unrealistically high in the first place.
I haven't seen a real drop at the pump though for about a week.
Well, some people believe that everything is Bush's fault, and that Karl Rove orchestrates events.
So if gas prices are going up, Bush wants that because it makes his oil company buddies more money.
If gas prices are going down, Bush wants that because it will help Republicans in the elections.
Bush can't win no matter what happens to gas prices.
SARCASM ALERT OFF NOW.
IT'S BUSH'S FAULT!!
Sorry... I had to get that out of my system.
There is more supply than demand. Speculators expected another disastrous hurricane season to hurt US and Mexican production. This would have driven the price up and handed the speculators a nice profit. The opposite has happened and over production (in anticipation of a falloff in oil from the Gulf of Mexico) is driving the price down. The speculators are now jumping ship and making the price drop even further. Making matter worse still is that OPEC can't stop its members from cheating; they need the cash.
He is one magnificent bastard.
He is TRULY a Magnificent Bastard.
Thanks. So basically it's simple supply and demand, with some instability added by speculators.
Whenever I hear the left saying that Bush/Rove are manipulating oil prices to get votes, my response is, fine with me!
Well, I for one is glad Rove has turned his hurricane machine off for now, I am leaving for a month in Arizona on monday
Ya gotta cut Karl some slack. He's been busy adjusting the settings on the neutron moderating beam. It seems to be working and it's really starting to mess with Kim Jong Il's head.
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