Oil may foul stocks - More weakness seen

[Nambe]

CNN
European stocks slide, weighed down by oil price fears (AFP)

NEW YORK (CNN/Money) - The rising price of oil continues to dominate U.S. stock market activity, with a lower open indicated Wednesday as crude futures hit another record.

Early Wednesday, Nasdaq and S&P futures were modestly lower.

Oil prices continued their climb. U.S. crude futures reached a record $44.28 a barrel before pulling back; still, they were up 3 cents to $44.18 a barrel in electronic trading. Brent oil futures gained 10 cents to $40.74 a barrel in London,


Rising oil prices and less-than-spectacular economic report sent stocks tumbling Tuesday. The Nasdaq composite index fell 1.7 percent, while the Dow Jones industrial average's loss was about a third as steep. ---

Ride Don’t Drive It’s Global Cool

[cthrumatrix]

1. why is oil going up now..? where is an investigation?

[saigon68]

2. The Profits are lining the pockets of Cheney's friends

The saudi princes will see that the prices fall for the sheep in October

In the meantime its unmitigated GLUTTONY on the MARKETS

[amandabeech]

5. Some of the increase may be attributable to China,

India and other rapidly developing countries increasing needs. Their economies are growing quickly, and require more oil every day. However, there are indications that producers are at their limits of pumping now, but demand keeps growing. There may be only limited increases in daily pumping to come. Google "peak oil" to find out more, or go to the environment/energy forum here at DU and browse around.

The wretched situation in the Persian Gulf may have pushed up oil $5-9 a barrel as a risk premium. I don't think that it's all Iraq either. Iran may be building nuclear weapons, which the European countries are concerned about greatly. Additionally, the situation in Saudi Arabia is dicey--there have been attacks on westerners and it is reported that there have been attacks on other Saudi institutions.

The U.S. dollar has lost ground against the Euro and the Yen in the past year. At one point a few years ago, the dollar was worth more than the euro. Now, it takes approximately $1.20 to purchase one euro. Oil is priced in dollars. Thus, the price of oil has not gone up as much in European countries or in Japan because they convert their currencies to depreciated dollars to buy oil. Some commentators have suggested that OPEC wishes to peg the price of oil to a basket of currencies, like the yen, euro, pound, dollar, etc., even though oil will still be quoted in dollars.

Obviously, many factors can affect price. These are only three that I've read about recently.

[Wright Patman]

7. It's Israel that is most concerned

about Iran's nuclear program. European countries are only concerned as to how it might trigger off preemption by Israel or the U.S. I don't think any of them see Iran as a great enemy the way we do. Certainly Russia doesn't. It more or less has a defense cooperation agreement with them, although I doubt it would attack Israel or the U.S. if the aforementioned preemption occurred.

[ixion]

3. the plundering neocons roll on...

I really can't believe people put up with this. :eyes:

[Nambe]

4. Get real! Beat the oil companies. It's fun and easy.

For $3-400, turn any bicycle into a motor cycle and it doesn't show.

Hub motors are fantastic if you are lazy, tired, or just don't want to break a sweat on your way to work. Ebay usually has a few listed. Be sure to get at least 400 watts with 3 batterys. Electric scooters are about the same price but you don't get any exercise and the handling and braking just don't compare.

http://www.largoscooters.com/wildernessenergy.html
Ride Don’t Drive It’s Global Cool

[reprobate]

6. Windfall profits, yes. But oil will never get cheaper.

We are entering peak oil so we are now on the down slope of the supply curve. Demand is escalating fast with china and india becoming industrialized and supply is not growing at all.

It's probable that the neocon invasion of iraq accelerated the pace of peak oil by several years, but it was coming anyway.

The real problem is that our gov't has been controlled by the oil interests so there has been no interest in research to move us away from the petro economy. They are not only destroying the economy, they are destroying the planet and it may be too late already.

I think my grandchildren will have a much more difficult time surviving than we did. I fear for them.