Oil up 8 bucks today????
- Thread starter StevieD
- Start date
Saudi Arabia seeks oil price curb
Information Minister says current oil price is 'unwarranted' as kingdom plans meeting of producers, consumers; will cooperate with OPEC.
Last Updated: June 9, 2008: 1:24 PM EDT
Kingdom will work with OPEC to "guarantee the availability of oil supplies," says Saudi Information Minister.
Waiting for oil to peak
More Videos
RIYADH, Saudi Arabia (AP) -- Saudi Arabia will call for a summit between oil producing countries and consumer states to discuss soaring energy prices, Information and Culture Minister Iyad Madani said Monday.
The kingdom will also work with OPEC to "guarantee the availability of oil supplies now and in the future," the minister said following the weekly Cabinet meeting, held in the seaport city of Jiddah.
Record jump in price
The Saudi announcement comes just three days after the biggest single-day price leap ever, when oil surged more than $11 to surpass $139 per barrel.
Retail gas prices rose further above $4 Monday in the United States, the world's largest oil consumer, following the unprecedented price rally.
The kingdom will work to ensure there will be no "unwarranted and unnatural oil price hikes that could affect international economies, especially those of developing countries," said Madani.
"There is no justification for the current rise in prices," he said.
Thomas Petrie, a vice chairman at Merrill Lynch and an energy markets expert, said he expects oil to be in a range of $120 to $150 a barrel between now and the fall, though he acknowledged trying to pigeonhole a price point is "a bit of a pointless exercise."
"I'd be surprised if we don't end the year having reached a point where we begin to see demand patterns changing, and we start to see prices come in some from that range, but not a lot."
Volatile New York trading
On Monday, light, sweet crude for July delivery fell $2.39 to $136.15 a barrel in volatile trading on the New York Mercantile Exchange.
The world's leading economies and largest oil consumers have urged oil producers to boost output, which has stalled at about 85 million barrels a day since 2005.
Energy experts say most producers have little ability to expand output. The exception is Saudi Arabia, which is producing about 9.4 million barrels a day and has the ability to increase production by about 2 million barrels a day, but has not done so.
"The Saudi Cabinet has instructed Oil Minister Ali al-Naimi to call for a meeting in the near future that will include representatives of oil-producing countries, consumers and companies that work in extracting, exporting and selling oil to look into the price hike, its causes and how to deal with it," said Madani.
The current president of the Organization of Petroleum Exporting Countries, Chakib Khelil, has said that the cartel will make no new decision on production levels until its Sept. 9 meeting in Vienna.
................................................................
Well the Saudis are just in a quandry about these huge oil jumps. Lets have a meeting in Sept to talk about it.
They have been twisting our nuts for way too many years.
I have noticed a declind in traffic on the roads as I do alot of driving everyday. The people that are rich enough it dont bother , the lower and middle class are getting the worse of it.
Information Minister says current oil price is 'unwarranted' as kingdom plans meeting of producers, consumers; will cooperate with OPEC.
Last Updated: June 9, 2008: 1:24 PM EDT
Kingdom will work with OPEC to "guarantee the availability of oil supplies," says Saudi Information Minister.
Waiting for oil to peak
More Videos
RIYADH, Saudi Arabia (AP) -- Saudi Arabia will call for a summit between oil producing countries and consumer states to discuss soaring energy prices, Information and Culture Minister Iyad Madani said Monday.
The kingdom will also work with OPEC to "guarantee the availability of oil supplies now and in the future," the minister said following the weekly Cabinet meeting, held in the seaport city of Jiddah.
Record jump in price
The Saudi announcement comes just three days after the biggest single-day price leap ever, when oil surged more than $11 to surpass $139 per barrel.
Retail gas prices rose further above $4 Monday in the United States, the world's largest oil consumer, following the unprecedented price rally.
The kingdom will work to ensure there will be no "unwarranted and unnatural oil price hikes that could affect international economies, especially those of developing countries," said Madani.
"There is no justification for the current rise in prices," he said.
Thomas Petrie, a vice chairman at Merrill Lynch and an energy markets expert, said he expects oil to be in a range of $120 to $150 a barrel between now and the fall, though he acknowledged trying to pigeonhole a price point is "a bit of a pointless exercise."
"I'd be surprised if we don't end the year having reached a point where we begin to see demand patterns changing, and we start to see prices come in some from that range, but not a lot."
Volatile New York trading
On Monday, light, sweet crude for July delivery fell $2.39 to $136.15 a barrel in volatile trading on the New York Mercantile Exchange.
The world's leading economies and largest oil consumers have urged oil producers to boost output, which has stalled at about 85 million barrels a day since 2005.
Energy experts say most producers have little ability to expand output. The exception is Saudi Arabia, which is producing about 9.4 million barrels a day and has the ability to increase production by about 2 million barrels a day, but has not done so.
"The Saudi Cabinet has instructed Oil Minister Ali al-Naimi to call for a meeting in the near future that will include representatives of oil-producing countries, consumers and companies that work in extracting, exporting and selling oil to look into the price hike, its causes and how to deal with it," said Madani.
The current president of the Organization of Petroleum Exporting Countries, Chakib Khelil, has said that the cartel will make no new decision on production levels until its Sept. 9 meeting in Vienna.
................................................................
Well the Saudis are just in a quandry about these huge oil jumps. Lets have a meeting in Sept to talk about it.
They have been twisting our nuts for way too many years.
I have noticed a declind in traffic on the roads as I do alot of driving everyday. The people that are rich enough it dont bother , the lower and middle class are getting the worse of it.
Stevie, I did say that and that is what happened. As soon as the unemployment came out higher than expected the dollar lost ground. When that happened the price of oil went up as well. I don't think I need to go in to details about how all of it works but if I need to I will. There are a lot of things affecting the price of oil, one of which is a weak dollar.
I understand that is one of the reasons attributed to the spike the other day. Last year no one was talking about enemployment causing the price to go up last year it was because of the demand in China. All I am saying is that like Iraq we have been given a new reason everyday.
Been waiting on you --per below
if you can't find any--and admission that you can't will suffice.
---and you can assist him Scott
+++++++++++++++++++++++++++++++
I've got several quotes from your leaders in 05 and 06 I will provide for you Smurph--after you point out to forum just one ecomomic indicator below that hasn't regressed since Dems took over in 06.
CCI Consumer Confidence Index
Consumer Credit Report
Consumer Price Index (CPI)
Durable Goods Report
Employee Cost Index (ECI)
Employment
Factory Orders Report
Gross Domestic Product (GDP)
Industrial Production
Non-Manufacturing Report
Producer Price Index (PPI)
Productivity Report
Purchasing Managers Index (PMI)
Retail Sales Report
Wholesale Trade Report
WOW They are batting a big fat "0"
--only thing to improve has been situation in Iraq and that is because all their plans have been vetoed.
Pretty scathing report and results isn't it--quite similiar in reverse to what the liberal media/blogs has been pounding in the publics head.
Truth of the matter for most items- Dems are no more responsible for down turn than GOP or visa versa.
Ecomomy goes in cycles--they came in at time when economy was firing. other than taxes or gov intrusion into free enterprise--really not many things either party can influence.
Per topic of oil--there is global increase in energy right now--same everywhere as here in countries that import big portion of their oil as we do.
So if one is to believe our oil companies are corrupt would they not have to assume all oil companies are?
Went through similiar fiasco on embargo's in the
80's--given time expect this one to subside as before--and would expect more to come in future.
Dude - CAN YOU READ?? Please look above - I never argued against you to begin with.
Source, please....
Ok I'll take that as submission that every economic indicator has regressed since dems took over in 06-
You did have one that they did improve that you missed--minimum wage
got a couple links I'll fetch for you as promised One from Dems website and one from Pelosi's website--They are stored on office computer but will see if I can locate them again--be back in bout ten minutes.
http://www.house.gov/pelosi/press/releases/April06/Rubberstamp.html
Pelosi: ?With Skyrocketing Gas Prices, Americans Can No Longer Afford Rubber Stamp Congress?
Monday, April 24, 2006
Contact: Brendan Daly/Jennifer Crider, 202-226-7616
Washington, D.C. ? House Democratic Leader Nancy Pelosi released the following statement today on President Bush?s, Speaker Hastert?s, and the Republican Congress? empty rhetoric on gas prices. Key facts on the Majority's failure to address gas prices follows Pelosi?s statement.
With skyrocketing gas prices, it is clear that the American people can no longer afford the Republican Rubber Stamp Congress and its failure to stand up to Republican big oil and gas company cronies. Americans this week are paying $2.91 a gallon on average for regular gasoline ? 33 cents higher than last month, and double the price than when President Bush first came to office.
?With record gas prices, record CEO pay packages, and record oil company profits, Speaker Hastert and the Majority Congress continue to give the American people empty rhetoric rather than join Democrats who are working to lower gas prices now.
?Democrats have a commonsense plan to help bring down skyrocketing gas prices by cracking down on price gouging, rolling back the billions of dollars in taxpayer subsidies, tax breaks and royalty relief given to big oil and gas companies, and increasing production of alternative fuels.?
* * *
Key Facts on the Majority?s Failure to Address Gas Prices:
President Bush, Speaker Hastert and the Majority Congress wrote and passed a Republican energy bill that President Bush?s own Energy Department said would raise gas prices on American consumers. Big oil and gas companies wrote the Republican energy bill, and the American people paid the price.
The Majority rejected imposing tough penalties on price gouging companies three times in the past year, since that time, gas prices increased by another 11 cents a gallon.
Speaker Hastert and the Majority have been blocking action on Congressman Stupak?s Federal Response to Energy Emergencies Act (H.R. 3936) since last September, which would protect American consumers from high gas prices by empowering the FTC and the DOJ to investigate and prosecute oil companies engaged in price gouging at each stage of the energy production and distribution chain and outlaws market manipulation.
---the other from from dems website has been taken down--
http://democrats.house.gov/bigpicture/jobs_and_economy/issue.cfm?level2id=24
might have more direct link to it at office--will check in morning--
Do have several others but not from the "horses mouth" so to speak--did check however on your
1st objection and none mentioned (including link that won't pull up) the $60 oil --so I stand corrected there--
++++++++++++++++++++++++++++
at office a link above on house dems also I had marked is taken down also--did find this though but don't think they got answer from her yet
http://www.herald-dispatch.com/opinions/x343466550
Mark Caserta: Democrats didn't deliver on promise to cut gas prices
Jun 01, 2008 @ 09:43 PM
The Herald-Dispatch
It was Monday, April 24, 2006. Denny Hastert was still speaker of the House of Representatives, and Republicans held the House and the Senate. Gasoline prices that week averaged $2.91 per gallon, 33 cents higher than the previous month and double the price when President Bush first took office.
The situation fueled a press release by Rep. Nancy Pelosi: "With skyrocketing gas prices, it is clear that the American people can no longer afford the Republican rubber-stamp Congress and its failure to stand up to the Republican big oil and gas company cronies."
She announced, "Democrats have a common-sense plan to help bring down skyrocketing gas prices by cracking down on price gouging, rolling back the billions of dollars in taxpayer subsidies, tax breaks and royalty relief given to big oil and gas companies, and increasing production of alternative fuels."
Well, over a year after taking the Senate and the House on Jan. 4, 2007, and promising to lower oil prices, the Democrats have presided over the highest oil price increase in history. Last week, gasoline prices averaged $3.94 per gallon, $1.03 higher than when now-Speaker Pelosi made her politically motivated promise.
Just when were the Democrats planning on implementing their plan?
Oil-producing countries continue to feed Americans their daily fix of crude like a dealer supplies his junkie. They understand U.S. dependency on oil and the Democrats' position on exploration.
Democrats repeatedly have blocked environmentally safe exploration in the Arctic National Wildlife Refuge. The Department of Energy estimates thatcould allow America to produce about a million additional barrels of oil every day, which equates to 27 million gallons of gasoline and diesel fuel pumped back into the economy. Yet the Democrats continue to stand in the way.
Refining capacity is another reason for high fuel prices. There hasn't been a new refinery built in the United States for 30 years, yet Congress continues to fear the environmental lobbyists and it blocks efforts to expand capacity by building more refineries.
At a recent news conference, President Bush called upon Congress to increase domestic oil production in response to soaring gasoline prices by approving legislation allowing oil and gas drilling in ANWR.
Sen. Lisa Murkowski, R-Alaska, has introduced legislation, along with the bill's co-sponsor, Sen. Ted Stevens, R-Alaska, that would automatically open ANWR if the price of oil tops $125 a barrel for five days.
"Americans are tired of hearing about why the cost of energy is so high. What they want to know is what we in Congress are doing to drive down prices," Murkowski said.
At Pelosi's news conference in April 2006, she stated, "All you have to do is drive down the street in your car, see the price at the pump, and you know that Americans can no longer afford George W. Bush as president and his rubber-stamp Republican Congress."
At least then people could afford to drive down the street.
Democrats continue to fail the American people in their promise to lower gas prices.
Mark Caserta is a local businessman and a Cabell County resident. He is a regular contributor to The Herald-Dispatch editorial page.
+++++++++++++++++++++++++++
In conclusion we can blame Bush admin or we can blame Dem congress--but fact of matter is--not much either side could do.
You did have one that they did improve that you missed--minimum wage
got a couple links I'll fetch for you as promised One from Dems website and one from Pelosi's website--They are stored on office computer but will see if I can locate them again--be back in bout ten minutes.
http://www.house.gov/pelosi/press/releases/April06/Rubberstamp.html
Pelosi: ?With Skyrocketing Gas Prices, Americans Can No Longer Afford Rubber Stamp Congress?
Monday, April 24, 2006
Contact: Brendan Daly/Jennifer Crider, 202-226-7616
Washington, D.C. ? House Democratic Leader Nancy Pelosi released the following statement today on President Bush?s, Speaker Hastert?s, and the Republican Congress? empty rhetoric on gas prices. Key facts on the Majority's failure to address gas prices follows Pelosi?s statement.
With skyrocketing gas prices, it is clear that the American people can no longer afford the Republican Rubber Stamp Congress and its failure to stand up to Republican big oil and gas company cronies. Americans this week are paying $2.91 a gallon on average for regular gasoline ? 33 cents higher than last month, and double the price than when President Bush first came to office.
?With record gas prices, record CEO pay packages, and record oil company profits, Speaker Hastert and the Majority Congress continue to give the American people empty rhetoric rather than join Democrats who are working to lower gas prices now.
?Democrats have a commonsense plan to help bring down skyrocketing gas prices by cracking down on price gouging, rolling back the billions of dollars in taxpayer subsidies, tax breaks and royalty relief given to big oil and gas companies, and increasing production of alternative fuels.?
* * *
Key Facts on the Majority?s Failure to Address Gas Prices:
President Bush, Speaker Hastert and the Majority Congress wrote and passed a Republican energy bill that President Bush?s own Energy Department said would raise gas prices on American consumers. Big oil and gas companies wrote the Republican energy bill, and the American people paid the price.
The Majority rejected imposing tough penalties on price gouging companies three times in the past year, since that time, gas prices increased by another 11 cents a gallon.
Speaker Hastert and the Majority have been blocking action on Congressman Stupak?s Federal Response to Energy Emergencies Act (H.R. 3936) since last September, which would protect American consumers from high gas prices by empowering the FTC and the DOJ to investigate and prosecute oil companies engaged in price gouging at each stage of the energy production and distribution chain and outlaws market manipulation.
---the other from from dems website has been taken down--
http://democrats.house.gov/bigpicture/jobs_and_economy/issue.cfm?level2id=24
might have more direct link to it at office--will check in morning--
Do have several others but not from the "horses mouth" so to speak--did check however on your
1st objection and none mentioned (including link that won't pull up) the $60 oil --so I stand corrected there--
++++++++++++++++++++++++++++
at office a link above on house dems also I had marked is taken down also--did find this though but don't think they got answer from her yet
http://www.herald-dispatch.com/opinions/x343466550
Mark Caserta: Democrats didn't deliver on promise to cut gas prices
Jun 01, 2008 @ 09:43 PM
The Herald-Dispatch
It was Monday, April 24, 2006. Denny Hastert was still speaker of the House of Representatives, and Republicans held the House and the Senate. Gasoline prices that week averaged $2.91 per gallon, 33 cents higher than the previous month and double the price when President Bush first took office.
The situation fueled a press release by Rep. Nancy Pelosi: "With skyrocketing gas prices, it is clear that the American people can no longer afford the Republican rubber-stamp Congress and its failure to stand up to the Republican big oil and gas company cronies."
She announced, "Democrats have a common-sense plan to help bring down skyrocketing gas prices by cracking down on price gouging, rolling back the billions of dollars in taxpayer subsidies, tax breaks and royalty relief given to big oil and gas companies, and increasing production of alternative fuels."
Well, over a year after taking the Senate and the House on Jan. 4, 2007, and promising to lower oil prices, the Democrats have presided over the highest oil price increase in history. Last week, gasoline prices averaged $3.94 per gallon, $1.03 higher than when now-Speaker Pelosi made her politically motivated promise.
Just when were the Democrats planning on implementing their plan?
Oil-producing countries continue to feed Americans their daily fix of crude like a dealer supplies his junkie. They understand U.S. dependency on oil and the Democrats' position on exploration.
Democrats repeatedly have blocked environmentally safe exploration in the Arctic National Wildlife Refuge. The Department of Energy estimates thatcould allow America to produce about a million additional barrels of oil every day, which equates to 27 million gallons of gasoline and diesel fuel pumped back into the economy. Yet the Democrats continue to stand in the way.
Refining capacity is another reason for high fuel prices. There hasn't been a new refinery built in the United States for 30 years, yet Congress continues to fear the environmental lobbyists and it blocks efforts to expand capacity by building more refineries.
At a recent news conference, President Bush called upon Congress to increase domestic oil production in response to soaring gasoline prices by approving legislation allowing oil and gas drilling in ANWR.
Sen. Lisa Murkowski, R-Alaska, has introduced legislation, along with the bill's co-sponsor, Sen. Ted Stevens, R-Alaska, that would automatically open ANWR if the price of oil tops $125 a barrel for five days.
"Americans are tired of hearing about why the cost of energy is so high. What they want to know is what we in Congress are doing to drive down prices," Murkowski said.
At Pelosi's news conference in April 2006, she stated, "All you have to do is drive down the street in your car, see the price at the pump, and you know that Americans can no longer afford George W. Bush as president and his rubber-stamp Republican Congress."
At least then people could afford to drive down the street.
Democrats continue to fail the American people in their promise to lower gas prices.
Mark Caserta is a local businessman and a Cabell County resident. He is a regular contributor to The Herald-Dispatch editorial page.
+++++++++++++++++++++++++++
In conclusion we can blame Bush admin or we can blame Dem congress--but fact of matter is--not much either side could do.
Last edited:
:0corn :0corn
think he will show in 10 minutes smurph ?
over 10 minutes -540
under 10 minutes +200
6:12 and counting
think he will show in 10 minutes smurph ?
over 10 minutes -540
under 10 minutes +200
6:12 and counting
Looks like it's China again!:shrug:
Oil resumes skyward path on demand predictions
Tuesday June 10, 10:59 am ET
By John Wilen, AP Business Writer
Oil prices rebound on demand forecasts, supply concerns and tensions in Nigeria
NEW YORK (AP) -- Oil prices resumed their upward trek Tuesday, rising sharply as investors focused once again on growing global demand for crude. Retail gasoline prices rose to a new record over $4.04 a gallon.
ADVERTISEMENT
The catalyst for oil's latest advance was an International Energy Agency report that said global demand will continue to rise, especially in China. Demand for fuel for reconstruction work in the aftermath of May's earthquake will boost Chinese oil demand by 5.5 percent this year, the IEA said, a slightly higher forecast than in previous reports.
"A 5.5 percent increase in one of the largest consumers of oil in the world is a lot of barrels of oil," said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates in Galena, Ill.
The Paris-based IEA said global demand for petroleum products such as gasoline, diesel and heating oil will grow by 0.9 percent, or 800,000 barrels a day, in 2008. That's down from the 1.2 percent, or 1 million barrels, the IEA forecast earlier this year, but investors had expected even more evidence that high prices are cutting consumption, said Phil Flynn, an analyst at Alaron Trading Corp. in Chicago.
"I think the market was looking for a bigger amount of demand destruction in that report," Flynn said.
The IEA, an energy adviser to Western industrialized nations, also suggested non-OPEC oil producing nations are having a tough time meeting demand.
Light, sweet crude for July delivery rose $2.26 to $136.61 a barrel on the New York Mercantile Exchange.
Also supporting prices was the second attack this week on a ******** oil industry security vessel. At least one person was killed. Nigeria is a major U.S. oil supplier. Militant attacks have cut into that nation's oil output.
Gas prices, meanwhile, advanced another 2 cents into record territory, reaching a new record national average of $4.043, according to a survey of stations by AAA and the Oil Price Information Service. Gas prices are following crude futures higher, and aren't likely to stop rising until crude prices peak.
"When crude tops out, we'll finally start getting some relief at the pump," Ritterbusch said.
Oil futures bucked the dollar, which rose against the euro on supportive comments by U.S. officials. Typically, a stronger dollar prompts selling by investors who had bought commodities such as oil as a hedge against inflation. Still, analysts expect that a longer-term strengthening of the dollar would lower oil prices.
The oil market reacted little to reports Tuesday that Saudi Arabia has increased oil output by 500,000 barrels a day this quarter, 200,000 barrels a day more than previously thought.
"A couple hundred thousand barrels just isn't enough," Ritterbusch said.
In other Nymex trading, July gasoline futures rose 6.06 cents to $3.4546 a gallon, and July heating oil futures rose 6.37 cents to $3.9407 a gallon. July natural gas futures rose 7.1 cents to $12.675 per 1,000 cubic feet.
In London, July Brent crude rose $2.22 to $136.13 on the ICE Futures exchange.
Associated Press writers George Jahn, in Vienna, Austria, and Eileen Ng, in Kuala Lumpur, Malaysia, contributed to this report.
Oil resumes skyward path on demand predictions
Tuesday June 10, 10:59 am ET
By John Wilen, AP Business Writer
Oil prices rebound on demand forecasts, supply concerns and tensions in Nigeria
NEW YORK (AP) -- Oil prices resumed their upward trek Tuesday, rising sharply as investors focused once again on growing global demand for crude. Retail gasoline prices rose to a new record over $4.04 a gallon.
ADVERTISEMENT
The catalyst for oil's latest advance was an International Energy Agency report that said global demand will continue to rise, especially in China. Demand for fuel for reconstruction work in the aftermath of May's earthquake will boost Chinese oil demand by 5.5 percent this year, the IEA said, a slightly higher forecast than in previous reports.
"A 5.5 percent increase in one of the largest consumers of oil in the world is a lot of barrels of oil," said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates in Galena, Ill.
The Paris-based IEA said global demand for petroleum products such as gasoline, diesel and heating oil will grow by 0.9 percent, or 800,000 barrels a day, in 2008. That's down from the 1.2 percent, or 1 million barrels, the IEA forecast earlier this year, but investors had expected even more evidence that high prices are cutting consumption, said Phil Flynn, an analyst at Alaron Trading Corp. in Chicago.
"I think the market was looking for a bigger amount of demand destruction in that report," Flynn said.
The IEA, an energy adviser to Western industrialized nations, also suggested non-OPEC oil producing nations are having a tough time meeting demand.
Light, sweet crude for July delivery rose $2.26 to $136.61 a barrel on the New York Mercantile Exchange.
Also supporting prices was the second attack this week on a ******** oil industry security vessel. At least one person was killed. Nigeria is a major U.S. oil supplier. Militant attacks have cut into that nation's oil output.
Gas prices, meanwhile, advanced another 2 cents into record territory, reaching a new record national average of $4.043, according to a survey of stations by AAA and the Oil Price Information Service. Gas prices are following crude futures higher, and aren't likely to stop rising until crude prices peak.
"When crude tops out, we'll finally start getting some relief at the pump," Ritterbusch said.
Oil futures bucked the dollar, which rose against the euro on supportive comments by U.S. officials. Typically, a stronger dollar prompts selling by investors who had bought commodities such as oil as a hedge against inflation. Still, analysts expect that a longer-term strengthening of the dollar would lower oil prices.
The oil market reacted little to reports Tuesday that Saudi Arabia has increased oil output by 500,000 barrels a day this quarter, 200,000 barrels a day more than previously thought.
"A couple hundred thousand barrels just isn't enough," Ritterbusch said.
In other Nymex trading, July gasoline futures rose 6.06 cents to $3.4546 a gallon, and July heating oil futures rose 6.37 cents to $3.9407 a gallon. July natural gas futures rose 7.1 cents to $12.675 per 1,000 cubic feet.
In London, July Brent crude rose $2.22 to $136.13 on the ICE Futures exchange.
Associated Press writers George Jahn, in Vienna, Austria, and Eileen Ng, in Kuala Lumpur, Malaysia, contributed to this report.
I thought it was supply?:shrug:
Top Stories
Saudis Boost Oil Output: Ministry Sources- CNBC
Saudi Arabia's oil output increased by almost 500,000 barrels a day this quarter, to 9.54 million barrels, sources in the Saudi Oil Ministry told CNBC. Oil prices retreated after the report.
Top Stories
Saudis Boost Oil Output: Ministry Sources- CNBC
Saudi Arabia's oil output increased by almost 500,000 barrels a day this quarter, to 9.54 million barrels, sources in the Saudi Oil Ministry told CNBC. Oil prices retreated after the report.
No, I guiess it's the dollar:mj07:
NEW YORK (AP) -- Oil prices fluctuated Tuesday, giving up an earlier advance and falling as the dollar held its gains against the euro and the Energy Department slashed its oil consumption projections. Retail gasoline prices rose to a new record over $4.04 a gallon.
ADVERTISEMENT
The dollar rose on supportive comments by U.S. officials, prompting selling by investors who had bought commodities such as oil as a hedge against inflation. Also, a stronger dollar makes oil more expensive to investors overseas.
The Energy Department, in a monthly report, indicated that high prices are cutting oil consumption more than expected in the industrialized world. Consumption is now expected to fall by 240,000 barrels a day in 2008; last month, the department forecast consumption would be unchanged from 2007 levels.
That report calmed a market that earlier sent oil up more than $3 on a projection by the International Energy Agency that said global demand will continue to rise, especially in China.
Light, sweet crude for July delivery fell 55 cents to $133.80 a barrel on the New York Mercantile Exchange.
The IEA, in its own monthly report, cut its demand growth forecasts, projecting that global demand for petroleum products such as gasoline, diesel and heating oil will grow by 0.9 percent, or 800,000 barrels a day, in 2008. That's down from the 1.2 percent, or 1 million barrels, the IEA forecast earlier this year.
However, the IEA, an energy adviser to Western industrialized nations, also said demand for fuel for reconstruction work in the aftermath of May's earthquake will boost Chinese oil demand by 5.5 percent this year, a slightly higher forecast than in previous reports.
"A 5.5 percent increase in one of the largest consumers of oil in the world is a lot of barrels of oil," said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates in Galena, Ill.
But the gains were difficult to sustain in the face of a stronger dollar, analysts said.
"You don't get a lot of ... additional buying when the dollar is strong," Ritterbusch said.
Gas prices, meanwhile, advanced another 2 cents into record territory Tuesday, reaching a new record national average of $4.043, according to a survey of stations by AAA and the Oil Price Information Service. Gas prices are following crude futures higher, and aren't likely to stop rising until crude prices peak.
"When crude tops out, we'll finally start getting some relief at the pump," Ritterbusch said.
The market appeared to react little to reports Tuesday that Saudi Arabia has increased oil output by 500,000 barrels a day this quarter, 200,000 barrels a day more than previously thought.
NEW YORK (AP) -- Oil prices fluctuated Tuesday, giving up an earlier advance and falling as the dollar held its gains against the euro and the Energy Department slashed its oil consumption projections. Retail gasoline prices rose to a new record over $4.04 a gallon.
ADVERTISEMENT
The dollar rose on supportive comments by U.S. officials, prompting selling by investors who had bought commodities such as oil as a hedge against inflation. Also, a stronger dollar makes oil more expensive to investors overseas.
The Energy Department, in a monthly report, indicated that high prices are cutting oil consumption more than expected in the industrialized world. Consumption is now expected to fall by 240,000 barrels a day in 2008; last month, the department forecast consumption would be unchanged from 2007 levels.
That report calmed a market that earlier sent oil up more than $3 on a projection by the International Energy Agency that said global demand will continue to rise, especially in China.
Light, sweet crude for July delivery fell 55 cents to $133.80 a barrel on the New York Mercantile Exchange.
The IEA, in its own monthly report, cut its demand growth forecasts, projecting that global demand for petroleum products such as gasoline, diesel and heating oil will grow by 0.9 percent, or 800,000 barrels a day, in 2008. That's down from the 1.2 percent, or 1 million barrels, the IEA forecast earlier this year.
However, the IEA, an energy adviser to Western industrialized nations, also said demand for fuel for reconstruction work in the aftermath of May's earthquake will boost Chinese oil demand by 5.5 percent this year, a slightly higher forecast than in previous reports.
"A 5.5 percent increase in one of the largest consumers of oil in the world is a lot of barrels of oil," said Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates in Galena, Ill.
But the gains were difficult to sustain in the face of a stronger dollar, analysts said.
"You don't get a lot of ... additional buying when the dollar is strong," Ritterbusch said.
Gas prices, meanwhile, advanced another 2 cents into record territory Tuesday, reaching a new record national average of $4.043, according to a survey of stations by AAA and the Oil Price Information Service. Gas prices are following crude futures higher, and aren't likely to stop rising until crude prices peak.
"When crude tops out, we'll finally start getting some relief at the pump," Ritterbusch said.
The market appeared to react little to reports Tuesday that Saudi Arabia has increased oil output by 500,000 barrels a day this quarter, 200,000 barrels a day more than previously thought.
