metals up oil up dow doowwwnnn, page-61

Could it be Frank that they are both right...may be oil prices are rising because of a combination of:

1. Growing demand from developing nations, especially China and India.

2. The dropping dollar.

3. Global investors/speculators looking to hedge their bets against future declines. Oil being one of the commodities that looks good - so there's speculation in oil futures. A bit of a speculative bubble forming?

4. Toss in a bit of instability in the Middle East - Israel's recent statements about Iran.

5. OPEC's refusal to produce more. May be it can, may be it can't.

And of course everybody is pushing their own barrel of interests/views. It's my opinion that at this point, only 2 events can significantly bring down the price of oil:

1. Demand destruction. A significant recession in the USA or elsewhere.

2. A new oil find in the order of the Saudi oil fields. The impact of such a find would not change prices in the near term but would impact planning and pricing down the road. And the problem with this one is that there have been no finds of this magnitude notified/registered in the past 30 years. So probability?

Just makes BHP look beautifulllllllll and the recent price drop just a crock

:)
cheers
Lekki