Hi Len,
There are some classic lines from that GlobeInvestor article. They'd even make Mount Rushmore laugh.
>> LONDON (Reuters) - World oil prices reversed early losses Monday, with benchmark Brent crude trading back above $33 a barrel despite an OPEC agreement to lift output by three percent.
The cartel said it might even act again to douse overheated oil markets before its next meeting in November.<<
According to many others they have little unused production available to do anything, unless they are going to pipe it in from Iraq.
Now wouldn't that be ironic. The US saves Kuwait's ass and probably Saudi's as well and then the Suadis import crude from Iraq to export, in order to save the US's ass.
>> Dealers said the firmer prices reflected profit-taking as traders bought back short positions taken out in the lead up to OPEC's meeting in Vienna.<<
That one I REALLY like.
Shorts having to cover. Has a nice ring to it, doesn't it.?
>> Brent blend crude oil, the world benchmark grade, was up 29 cents cents a barrel at $33.00 at 1413 GMT. Earlier Monday it dipped to $32.10. The OPEC deal drew only lukewarm praise from Western consuming governments faced with angry motorists and oil dealers warned that cold winter weather and depleted oil storage tanks in the United States might conspire to keep prices near to current levels.<<
"Conspire", .. that's a new one. It used to be called the forces of the free market place.
>> The upward move was ``technical'' rather than driven by fundamental factors, said Scott Carter, a trader at Tosco in London.<<
Technical, my ass.!
What could be more fundamental than a shortage of oil, in reserve, refineries, heating oil stocks and in transit.??
Some people simply don't want to see the big picture or any picture that disturbs their warm, cosy little cocoon.
There is now a clear division between the two groups of "expert oil industry analysts", .... those who recognise the crisis and those who just want it to go away.
long, long on O&G stocks,
'jaggs |
