U.S. Defense Dept. to buy more military jet fuel
<< The U.S. Department of Defense on Friday said it increased by 21 percent an already large military jet fuel tender for Europe, as the air war against Serbia headed toward its fifth week.
With the increase, the tender is for just under 58 million gallons and calls for both general purpose ''high grade'' jet fuel, as well as ''safety grade'' jet, a less flammable version used mostly by fighters launching from aircraft carriers.
An official with the Pentagon's fuel-buying arm, the Defense Energy Source Center, on Friday said the increase in the latest tender was ''a result of the world events.'' >>
<< The war has helped lift oil prices generally, and particularly, it has boosted prices of fuel used by the military.
Bill O'Grady, an oil market analyst at A.G. Edwards in St. Louis, noted that world demand for oil distillates -- which includes jet, ''bunker'' fuel for ships and diesel for tanks -- rose by 16 percent in August 1990, when Iraq invaded Kuwait. It rose another 6 percent in the months to November 1990, during the ''Desert Shield'' military build-up by the U.S. and its allies.
The impact of war on the oil market is not just for jet fuel, O'Grady said, but is driven by ''every piece of equipment and every man you move to the region. Folks are beginning to look around and say this is boosting demand.'' >>
biz.yahoo.com
Nothing like rising oil prices to give gold a boost ... Guess maybe the war does affect gold price after all. <ggg>
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