Thursday, January 03, 2008

367 days early

My prediction of $100 oil, that is. The day that Orrin said would never come came yesterday.
NEW YORK -- Crude oil prices briefly passed $100 a barrel Wednesday for the first time amid an unshakeable view that global demand for petroleum products will outstrip supplies.

Violence in Nigeria helped give crude the final push. Armed bands invaded Port Harcourt, the center of Nigeria's oil industry, on Tuesday, attacking two police stations and a major hotel. Word that rough weather had closed several Mexican oil export ports added to the gains, as did a report that OPEC may not meet its share of global oil demand by 2024.
Light, sweet crude for February delivery rose $4.02 to $100 a barrel on the New York Mercantile Exchange, before slipping back to settle at a record close of $99.62, up $3.64.
At the pump, gasoline prices rose 0.6 cent to a national average of $3.049 a gallon, according to AAA and the Oil Price Information Service. Gas prices, which typically lag the futures market, have edged higher in recent days.


I, for one, welcome our new petrocratic overlords!

2 Comments:

Blogger Harry Eagar said...

Cheap, too, considering the alternatives.

January 04, 2008 12:12 PM  
Blogger David said...

Apparently, it was a rigged sale of 1000 barrels between two friends who are independent traders.

January 04, 2008 8:37 PM  

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