is now the time to double-up on the beach?, page-35

"(NEW YORK (MarketWatch) 05/03/09.-- Oil futures rose for a second straight day Wednesday, surging 9% to end above $45 a barrel after government data showed a surprising decline in U.S. crude inventories )"

Mike,

Where did you get that from. I have just read an article about oil a couple of days ago, stating that all oil storages in the USA are either at 100% full capacity or 90% full and they don't know where to store it anymore.
It (the article), also said that Shell alone, are using oils supertankers to store oil in the ocean and waiting for an upswing in the oil price to bring them in. They have in excess of 30 supertankers anchored away currently, and it is costing them more than US$25,000 per day per each vessell just to have them sitting there.
Other oil companies are doing the same, and oil producing countries which relies on the crude oil for their economies, can't make many sales at all, and there are not many takers out there ready to do a deal.

It also said that the price of oil reached those ridicolous levels before, simply because it was manipulated to such an extent by traders, who where left alone to do what they liked, and without any control.

It also made a mention that oil will probably reach a stable level of around the $70 per barrel, and stabilize there, but not in the immediate future. Reason being that if it reach that level, Canada, who is getting oil from the shale, will start reproducing at full level again. Currently the oil that Canada is producing from shale, is costing them more than the current market is prepared to pay for it.

So, who do we believe anymore??

But then again, the Yanks are well reknown that they can come up with different stories within a few minutes of each other, depending on which way they want the water to turn. Towards them, or away from them??

And as for China, Sudan is currently supplying over 80% of it's total crude oil production to China.

Good luck to holders.

DYOR.

Buddy