Oil prices top $63 US per barrel

[justinsb]

Oil prices top $63 US per barrel

Last Updated Mon, 08 Aug 2005 11:29:20 EDT
CBC News

Oil prices shot up to new highs on Monday, apparently driven higher by new worries over supplies and Middle East security.

On the New York Mercantile Exchange, light sweet crude for September delivery was going for $63.65 US per barrel, up $1.34 US from Friday's close.

Investors were nervous after the U.S. government said it would close its embassy in Riyadh, Saudi Arabia, on Monday and Tuesday. The move follows unspecified security threats to U.S. buildings in the country on Sunday. The U.S. consulates in Jidda and Dhahran were also closed.

http://www.cbc.ca/story/business/national/2005/08/08/oil-050808.html

[leveymg]

1. How much longer can the MSM ignore this?

If I had some money, I'd be buying options on the arbitrage between domestic retail gasoline and the spot market price.

If I had money, I could make even more money. The Saudis and the oil companies have to be loving this situation.

We have been so played for suckers.

[cliss]

2. This is really high.

But it's not a complete surprise. You're right: we could buy oil futures or options and make a nice sum. But at this point, the spread is probably too thin to make a lot of money.

They say that when the story has hit the newsstand, it's too late. But you would make money.

I'm betting the stock market will take a beating. The dollar will go down. Greenslime might come out of his spider hole and raise interest rates to keep the greenback afloat. That's my (humble) prediction.

[Javaman]

3. Gas at the pump, went up 11 cents this week alone, here in Austin...