Thursday April 17, 2008

Oil rises to record $115.21 on unexpected inventory drop

This article belongs to the NYMEX crude oil price records story arc.

bloomberg.com :

Crude oil and gasoline rose to records after the Energy Department reported unexpected declines in U.S. crude inventories and refinery operating rates. Oil climbed to $115.21 a barrel in New York, the highest since futures began trading in 1983. Yesterday [16 Apr 2008], oil futures gained $1.14, or 1 percent, to settle at $114.93 a barrel, a record close. Prices are up 82% from a year ago.

- Some of the news headlines are now screaming "Oil above $115 for the first time". It's like some magic level was reached and $115 seemed somehow more significant than say $114, or $112, or $110, which were all record-breaking levels themselves. Of course, there's no real basis for that other than a psychological need for some milestone to look back on.

And it looks like we are moving in $5 steps nowadays. $100-105, $105-110, and now $110-115. That's in terms of trading ranges. Could $115-120 be next? Perhaps. At some point, maybe after $200 oil, we might be taking $10 steps. All in all, a great environment for the oil longs, but do spare a thought for companies such as the airlines, and also as peakoilers, we constantly worry about the general impact on the overall economy - commerce, transportation, food, and so on.

See also :

1. Crude oil hits $114.08 record as investors turn to commodities
2. Crude oil rises to record $112.48 on falling dollar
3. Crude oil hits record $112.21 per barrel
4. Oil hits $111.00 high, breaking records 7 trading days in a row

(2008-04-17 14:11:34 SGT) [Energy] Permalink

Most popular blog postings on lowem.log :

1. Singapore SIBOR interest rates fall to 1.5%, lowest since Dec 2004
2. Singapore SIBOR rate falls to 1.31%, lowest since Nov 2004
3. Fuel prices seen stoking Malaysia inflation in 2008
4. Singapore SIBOR rate fell to 1.25% in Apr 2008, lowest since Aug 2004
5. Malaysia inflation rate jumps to 7.7% in Jun 2008, a 26-year record high
6. 2010 Honda Civic Hybrid preliminary specifications released
7. 2009 Honda Global Small Hybrid details released : bigger than Jazz/Fit, smaller than Civic
8. Singapore : Inflation rate could push past 6% in Q1 2008

Featured articles on lowem.log :

1. ABC Guide to Beating Inflation in Singapore and Elsewhere
2. Singapore inflation rate hits new 26-year high of 7.5% in Apr 2008
3. Singapore : Bread price inflation continues
4. 2010 Honda Civic Hybrid preliminary specifications released
5. Peakoiler buys 2008 Honda Civic Hybrid FD3
6. How to insert currency exchange rates into Google Spreadsheets
7. Singapore SIBOR rate fell to 1.25% in Apr 2008, lowest since Aug 2004
8. Singapore : Inflation erodes away bank savings