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| Home Front: Economy |
| Oil@$53, a gain of more than $10 since Hurricanes! |
| 2004-10-07 |
| (Thanks for including 'Home Front Economy' heading ,,I never knew where to place this stuff:) Crude oil in New York rose to a record $53 a barrel, a gain of more than $10 since Hurricane Ivan began to shut Gulf of Mexico oil production almost four weeks ago. Royal Dutch/Shell Group said two platforms struck by Ivan won't be fully operational until next year. Production in the Gulf, source of a quarter of U.S. output, remains 28 percent below normal, the U.S. Minerals Management Service said. The reduction comes as refiners prepare to boost operating rates to meet winter demand for heating oil. ``I see no sign of us approaching a top, which is scary,'' said Tom Bentz, an oil broker at BNP Paribas Commodity Futures Inc. in New York. ``Production in the Gulf is out and Nigeria is becoming more of a worry. There continue be threats to supply in a market that just can't afford to have any reduction.'' Crude oil for November delivery was up 65 cents, or 1.3 percent, to close at $52.67 a barrel on the New York Mercantile Exchange, the highest since futures began trading in 1983. Oil has gained in 14 of the last 16 sessions and is 73 percent higher than a year ago. In London, the November Brent crude-oil futures contract rose 91 cents, or 1.9 percent, to close at a record $48.90 a barrel on the International Petroleum Exchange. Brent futures reached $49.20, the highest price since the contract began trading in 1988. My thoughts; Oil heading into the mid-$50's prior to the cold winter months is NOT a good sign for near term trending of the entire energy complex. If the Islamic terrorist enemy wants to really give us a semi-knock out punch they will begin targeting the huge crude oil reserves of Saudi Arabia and other Gulf states. The market panic effect will continue their dirty work. Right now there does no seem to be an end in sight for the incredible bull run in the energy markets. We can not rule out $75 oil or much higher based on a number of factors some of which are not fully in our control. Those using heating oil are going to be in for massive price shock in the geographic areas which suffer cold winters. We are under attack people, right now it's overseas and if we do not react and traget the main state promoter (Iran) we shall be sitting ducks in the very near future. It's us or them now! Read the rest in the link |
| Posted by:Mark Espinola |
| #3 Are you advising going long oil? Where's the peak? |
| Posted by: Mrs. Davis 2004-10-07 7:49:35 PM |
| #2 Isn't Lh around to cry Peshawar? |
| Posted by: Bulldog 2004-10-07 7:36:23 PM |
| #1 Luv your stuff Mark, but consider the SEC. |
| Posted by: Shipman 2004-10-07 7:16:32 PM |