oil below 70, page-2

Think of the heroic gymnastics being played out around the world to save banks and credit. Look at the plight of Iceland.
OPEC and Russia have become reliant on high prices for their oil, it is a no brainer that they will pull back supply. Hugo Chavez and Iran wanted to do it above US$100. Now Russia has a falling Rouble.
The leaders in oil exporting nations have a far simpler strategy thay can follow ie pull back supply to restore national finances, than the convoluted processes going on in the importing nations.
Having said that, most recent reports say OPEC supply will barely match demand anyway. Oil back above US$100 could be as close as an OPEC meeting, reversing of the US$, terrorism or an accident.
CVN remains a low cost producer anyway, just will pay less tax more than make less profit.