$100 OIL!!!!
We could hit $100 oil...Today!
After closing at $98.03 in New York yesterday, the price Black Gold peaked at $99.29 in overnight trading. This morning oil opened at $98.63 in New York, however, with today and then Friday being light trading days due to the Thanksgiving Holiday volatility will reign.
Also, remember, that overseas trading has no holiday. They will continue to trade the gooey stuff overnight.
Then there are the concerns that China and India's rapid development and increased demand will put further strain on oil supplies. Refineries are already starting to complain that they aren't getting enough of it. They have exhausted the surplus that has kept gasoline prices at the sub $3/gallon mark.
Currently, oil producers are pumping 85 million barrels a day out of the ground. The US Department of Energy says that consumption is between 85 and 86 million barrels per day. And remember, they are the government, they are here to help, and I have a few grains of salt to throw at their numbers.
On a positive note for the stock market (it needs a few hundred of these right now), it looks like the Fed may be cutting rates again due to what they perceive as slow growth. 2008 forcasts are showing US economic growth between 1.8 and 2.5%. They are also saying that inflation will fall to between 1.8 and 2.1%. Remember that inflation never falls...it just goes up at a slower rate.
Again, are you willing to believe the Fed's numbers when the price of gas is breaking $3/gallon, heating oil is supposed to be 25% higher than last year, and wheat has tripled in the last four years (but producers of foodstuffs have not acted accordingly, yet).
Wall Street did not like the Fed projections. Combined with higher oil prices, the credit crunch, and how it is affecting financial stocks, the Dow is down this morning at 12,925.77 DOWN 84.37 points.
That is all that I have. There are many, many buying opportunities out there. I am going to ferret them out and get back to you soon. Look in your mailbox for updates and notice of these opportunities soon.
Notes from the Underground:
Dow - 12,925.77 -84.37
Gold - 802.50 +12.20
Silver - 14.48 EVEN
Oil - 98.63 +0.60
To your ultimate investment success,
Patrick
After closing at $98.03 in New York yesterday, the price Black Gold peaked at $99.29 in overnight trading. This morning oil opened at $98.63 in New York, however, with today and then Friday being light trading days due to the Thanksgiving Holiday volatility will reign.
Also, remember, that overseas trading has no holiday. They will continue to trade the gooey stuff overnight.
Then there are the concerns that China and India's rapid development and increased demand will put further strain on oil supplies. Refineries are already starting to complain that they aren't getting enough of it. They have exhausted the surplus that has kept gasoline prices at the sub $3/gallon mark.
Currently, oil producers are pumping 85 million barrels a day out of the ground. The US Department of Energy says that consumption is between 85 and 86 million barrels per day. And remember, they are the government, they are here to help, and I have a few grains of salt to throw at their numbers.
On a positive note for the stock market (it needs a few hundred of these right now), it looks like the Fed may be cutting rates again due to what they perceive as slow growth. 2008 forcasts are showing US economic growth between 1.8 and 2.5%. They are also saying that inflation will fall to between 1.8 and 2.1%. Remember that inflation never falls...it just goes up at a slower rate.
Again, are you willing to believe the Fed's numbers when the price of gas is breaking $3/gallon, heating oil is supposed to be 25% higher than last year, and wheat has tripled in the last four years (but producers of foodstuffs have not acted accordingly, yet).
Wall Street did not like the Fed projections. Combined with higher oil prices, the credit crunch, and how it is affecting financial stocks, the Dow is down this morning at 12,925.77 DOWN 84.37 points.
That is all that I have. There are many, many buying opportunities out there. I am going to ferret them out and get back to you soon. Look in your mailbox for updates and notice of these opportunities soon.
Notes from the Underground:
Dow - 12,925.77 -84.37
Gold - 802.50 +12.20
Silver - 14.48 EVEN
Oil - 98.63 +0.60
To your ultimate investment success,
Patrick
Labels: Economy, Oil, Stock Market, Stocks
posted by Dusan at
6:49 AM
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