With the price of oil nearing $70 per barrel, what direction do you predict the price is going to head in the near future?
Danny
2007/06/20 21:17:50
A dispute between the West and Iran over its uranium enrichment project remains a source of worry. The United Nations again tried to urge Iran to cease its nuclear enrichment programme on Thursday.
Also, the move by Palestinian Authority President Mahmoud Abbas to dismiss the Hamas-led coalition government and issue a state of emergency on the same day raised concerns over instability in the region.
And a drop in output at US refineries raised concerns that old refineries would not be able to meet demand exactly at the time when consumers were using more petrol over the summer holiday period.
Separately, the oil producer's group, Opec, maintained its forecast for global oil consumption for the year.
"Market fundamentals do not indicate that additional supply is necessary at this time," said Opec in its monthly report.
The group expects a 1.5% increase in world oil demand to 85.6 million barrels per day in 2007.
Thursday's climb came a day after data from the US department of energy showed that US petrol stocks were flat in the week ending 8 June - well off the average typical of this time of year.
Also, the move by Palestinian Authority President Mahmoud Abbas to dismiss the Hamas-led coalition government and issue a state of emergency on the same day raised concerns over instability in the region.
And a drop in output at US refineries raised concerns that old refineries would not be able to meet demand exactly at the time when consumers were using more petrol over the summer holiday period.
Separately, the oil producer's group, Opec, maintained its forecast for global oil consumption for the year.
"Market fundamentals do not indicate that additional supply is necessary at this time," said Opec in its monthly report.
The group expects a 1.5% increase in world oil demand to 85.6 million barrels per day in 2007.
Thursday's climb came a day after data from the US department of energy showed that US petrol stocks were flat in the week ending 8 June - well off the average typical of this time of year.

















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Rarely does any necessary commodity go down in price, ie food, utilites, clothing
price. This is a demand market, and as long as we demand oil, then the
price will stay static or rise, but as soon as someone creates a viable
alternative to oil, or we begin doing coal to oil or anything else that
threatens the Saudi oil revenues, then they will flood the market and
the price will fall.