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To: Nathan Zachary
World trade on oil barrel prices is in USD. It is what it is at closing bell.

And the change in the cost of a barrell of oil has been inversely related to the change in the value of the dollar, yes?

Oil has been increasing in cost, as the value of the dollar has declined. That has been one factor (of many) in the high cost we see today.

43 posted on 06/10/2007 12:03:01 PM PDT by Michael.SF. ("The military Mission has long since been accomplished" -- Harry Reid, April 23, 2007)
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To: Michael.SF.
" And the change in the cost of a barrell of oil has been inversely related to the change in the value of the dollar, yes?< Oil has been increasing in cost, as the value of the dollar has declined. That has been one factor (of many) in the high cost we see today.

well yes, is a very small way. You are talking small change, pennies per barrel if the dollar happens to trade a 1/10 of a cent lower that day.

What has been driving up world oil prices is not the strength of our dollar, it's speculation on the trading floor over terrorist threats, supply problems (regulation by opec), next years weather forcast, anthing they can use as an excuse to drive up prices to make a buck.

The actual cost of producing oil hasn't gone up much at all from when barrel prices were in the 25$ range. It's all a rip off as far as I'm concerned.

47 posted on 06/10/2007 12:21:28 PM PDT by Nathan Zachary
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