Thursday, February 09, 2012

Speculators getting antsy....

May you live in interesting times. Who's going to buy all that 100$ oil in Europe?

More oil comes on line from Canada and then good old USA and prices collapse.

Plus a dozen assholes in California buy a hybrid and we have a glut! LOL.

Expect Oba mama to come up with a "new" drilling plan a little later to squash any oil price surge that makes him look helpless later this year as he enter reelection mode.

Crude Oil Trades Near Six-Week Low on Forecast of Rising U.S. Stockpiles - Bloomberg
Oil fell to near a six-week low in New York before a report forecast to show that U.S. stockpiles increased last week. U.S. crude’s discount to North Sea Brent oil surpassed $20 for the first time since October.

West Texas Intermediate futures extended yesterday’s decline, bringing this week’s loss to 1.8 percent. Greek Prime Minister Lucas Papademos will meet the country’s political leaders today to discuss measures for securing a second European Union-led bailout. U.S. crude inventories probably rose to the highest in more than four months and gasoline supplies climbed for a second week, according to a Bloomberg survey before an Energy Department report tomorrow.

“The market is oversupplied, which is putting pressure on WTI,” said Carsten Fritsch, an analyst at Commerzbank AG in Frankfurt, who forecasts oil will slide this year. “But fears of supply disruption are keeping Brent supported. The widening of the spread is the constant factor in the market.”

Oil for March delivery dropped as much as $1.07, or 1.1 percent, to $95.84 a barrel in electronic trading on the New York Mercantile Exchange, and was at $96.03 at 1:07 p.m. London time. It fell to $95.44 a barrel on Feb. 2, the weakest level since Dec. 20. Prices have declined 2.8 percent this year.

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