Quote:
Originally Posted by tony404
Im not that smart lol thats a article from forbes  |
OK.. Let's put it this way
In the last two weeks or so there has been hedging going on and this has had "some" effect on oil prices - little doubt of that. To what degree - hell, don't know.
There is a strong believe in markets that oil will reach $100 soon (it has less than $2 to reach that $100) despite what experts are saying - and this is being confirmed even more on a daily basis recently.
Here's a couple of quick quotes:
Quote:
"We're going to get $100 before too long," said Kevin Norrish of Barclays Capital.
"I think we'll get there," said Dariusz Kowalczyk at CFC Seymour. "The factors that have been driving the recent trend are still in place."
A big fall in US crude inventories might have been enough to push the price over $100 a barrel, but in the event the figures from the Department of Energy showed a smaller than expected drop.
US crude oil inventories fell by 800,000 barrels over the past week to 311.9 million barrels.
Oil prices have still not reached a record high if inflation is taken into account.
Adjusting for inflation, US light crude's record peak of $101.70 came in 1980 against a backdrop of war between Iraq and Iran.
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This stuff is moving at a fast rate, along with other small deviances creeping in to sway it one way or the other and something a forecaster/analyist could not anticipate. It can prob go either way - so really hard to say what may happen in a week, nevermind a month.
Still got a gutty feeling it will reach $100, maybe sooner, maybe later.