Oil below $35 amid grim US economic news
Oil below $35 amid grim US economic news
(from Associated Press via Yahoo)By ALEX KENNEDY
“SINGAPORE – Oil prices wallowed below $35 a barrel Thursday in Asia as grim U.S. economic news pointed to a deep recession and weaker crude demand. Light, sweet crude for March delivery rose 3 cents to $34.65 a barrel by midday in Singapore on the New York Mercantile Exchange. The contract on Wednesday fell 31 cents to settle at $34.62. The March contract expires on Friday, and traders switched their focus to the April contract, which rose 14 cents to $37.55. The Federal Reserve on Wednesday confirmed what many investors already suspected — that the U.S. economy has significantly deteriorated in the last few months. “
Found this article last night on Yahoo News. It begs the question, why the heck are we still paying $2.00+/gallon when the crude prices are dwindling so rapidly? Are the refiners buying and stocking crude at such low prices so that they can continue to sell at the same rate when the demand spikes? I thought OPEC was the biggest mafia/cartel, but I guess the refineries have beat them silly on this strategy..
