At last oil prices has started to ease a bit..
@saivenkaat802003 (4823)
India
July 7, 2008 9:32pm CST
It reduced $4 a barrel.. welcome sharp $4 decrease.. as the potential supply disruptions has decreased..
Fears that a fresh conflict in the Middle East could cut oil supplies eased over the weekend.
Traders feared, that Iran may be " invited" for a Conflict with another "Power", but by now the situation has eased a bit..
And hence the drop of oil price to a around $140 a barrel..
Two things that i observe from the article.. the price hike which is so steep.. is not primarily attributed to the lack of supply, but due to the speculation made by the traders, in anticipation of the disruption,in supply.. they have started to keep a good volume in buffers.
And secondly, the " FUTURES TRADING" in the derivative market has increased the price of oil..
End result the Common man suffers..a lot.
ttp://news.yahoo.com/s/ap/20080707/ap_on_bi_ge/oil_prices;_ylt=Ai18JkVsp.iDHFfFthknl42s0NUE
1 person likes this
3 responses
@faith210 (11224)
• Philippines
8 Jul 08
Hi saivenkaat802003! The oil in the international market may have lowered but here in our country, it is still increasing and we were informed by local oil suppliers that the increases will still go on each week until the 3rd quarter of the year. I really don't know until where we can take this. It is getting too much of a burden for us regular folks.
Take care and God Bless!
@saivenkaat802003 (4823)
• India
8 Jul 08
Ha..ha.. you got rid of my happiness.. i was happy.. when i saw the article..and now gone..
And friend..have no worries about hike price.. just come to my country..i will look after both of you.
Take care.
And friend..have no worries about hike price.. just come to my country..i will look after both of you. Take care.1 person likes this
@faith210 (11224)
• Philippines
20 Jul 08
Hi dear friend! Ooops sorry, for taking away that happiness. But that is what is happening in our country. haha..You are sweet for wanting to take care of us. Maybe for a few days of visit in your country, I will take you on that. haha..
Take care and God bless your kind sweet soul!
@mscott (1923)
• United States
8 Jul 08
There are few things to blame. First the US dollar. Oil is traded in US dollars so when the dollar is weak it jacks the price of commodities. Second, our very own congress. They deregulated oil on the futures market meaning speculators only have to put up 5% instead of the 50% or whatever it use to be. This means they have more money and less risk so they drive up the prices. I would personally like to thank congress for that brilliant move.
@snowy22315 (208906)
• United States
8 Jul 08
I dont know if the price drop is going to last. I think all the experts are predicting it is going to go higher. I hope it does continue to drop and all these horror stories of seven dollar or ten dollar a gallon gs does not come to pass.
