Posted on 08/08/2005 7:59:44 AM PDT by Crackingham
Crude futures rose to a new high of $62.69 in Asian trading Monday as the U.S. government announced the closure of its embassy and consulates in Saudi Arabia due to security threats and on continued concerns that earlier shutdowns of U.S. oil refineries would reduce supply. Midmorning in Singapore, light, sweet crude for September delivery on the New York Mercantile Exchange rose as high as $62.69 in Asian electronic trading before slipping back to $62.51. On Friday, crude settled at U$62.31 a barrel, a record close for crude since Nymex trading began in 1983.
That's 42 percent higher than a year ago, though crude prices would have to surpass $90 to reach the inflation-adjusted high set in 1980.
Gasoline edged up slightly to $1.8415 a gallon while heating oil rose marginally to $1.7390 a gallon.
The market was on edge as traders closely monitored geopolitical developments in Saudi Arabia following Sunday's announcement of a security threat against U.S. government buildings. A week ago, the death of the country's king also rocked markets, even though many analysts believe there will be little long-term change in the oil policies of Saudi Arabia, the world's biggest petroleum producer.
The planned closure Monday and Tuesday of the U.S. Embassy in Riyadh and consulates in Jiddah and Dhahran was "in response to a threat against U.S. government buildings" in the kingdom, the embassy said, adding it would also limit nonofficial travel of its mission personnel.
In a statement, it urged Americans residing in the world's largest oil producing and exporting country to keep "a high level of vigilance," but did not elaborate on the nature of the threat.
Hours after the announcement, a Saudi Interior Ministry spokesman, Maj. Gen. Mansour al-Turki, said his government had no information about a possible threat.
Over the past few years, rising oil consumption has strained the world's limited excess production capacity, putting energy traders on edge about any threat to supply.
$62.90.
This time it REALLY is Bush's Fault.
My wallet can not take any more of this.
$63.50 now
How???
Light to heavy spead is still $17.
Crude-Oil Prices Hit Record $63 a BarrelBUDAPEST, Hungary(AP) Crude-oil prices rallied to a new high above $63 a barrel on Monday, reflecting market fears over the U.S. embassy closure in Saudi Arabia due to security threats and concerns that shutdowns of U.S. oil refineries would reduce supply.
Light, sweet crude for September delivery rose to a high of $63.80 a barrel on the New York Mercantile Exchange before falling back a bit to $63.50, up $1.19.
Prices had settled at $62.31 a barrel on Friday, a record close for crude since Nymex trading began in 1983.
"The market clearly has the jitters," said Deborah White, energy analyst at SG Securities in Paris.
Gasoline gained 3 cents to $1.8620 a gallon while heating oil rose 3 cents to $1.7630 a gallon.
What is 'spead'?
Well, if Canada wants to sell all it can as quick as it can.
By NOT cutting fuel taxes imposed during Klintoon AND by Taking the control over the manufature of "State of Locale" specfic "Designer Fuels" awat from the states. THAT'S HOW!
WTI is the number quoted in most reports. Heavy crudes, like Lloydminster and others out of western Canada (and Maya/Mexican, sell at a "spread" below WTI and are key to understanding asphalt economics.
I agree with the fuel tax, but taking away control from the states is to big government..
Not when the State Govt have been shown to be absoluty Clueless as far as energy is concerned.
Now above $63.50.
http://quotes.ino.com/exchanges/?e=NYMEX
Next, oil up to $70 per bbl on fears that armpit hair on Palestinians may contain toxic bio-agents that will cause a global problem with Pali BO.
I'm counting the days when this absurd oil bubble pops. Anyone remember the Pacific Rim bubble ala George Soros, or the shorting of the British pound ala George Soros, or the foiled attempt to short the US dollar by Berkshire Hathaway and George Soros and the... ?
Oh, that's spread.
Hey now! Bush did give the energy companies tax breaks so they make more profit...err I mean...drill for more oil.
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