Posted on 03/15/2011 1:30:16 PM PDT by La Enchiladita
TOKYO (Nikkei)--International crude oil prices are inching lower on concern that economic conditions in Japan may deteriorate following last Friday's earthquake and tsunami.
Prices briefly soared to a two-and-a-half year high when political unrest escalated in the Middle East and North Africa. But since the massive temblor, they have faced downward pressure on speculation about a worsening economic outlook for Japan.
North Sea Brent crude closed at 113.67 dollars a barrel in London on Monday, down 1.76 dollars from last Thursday. And in after-hours trading Tuesday, it fell to the 108-dollar level as share prices also fell, following a fire at the Fukushima Daiichi nuclear plant's No. 4 reactor operated by Tokyo Electric Power Co. (9501).
Crude oil processing volumes in Japan are expected to fall for the time being in the wake of quake-triggered fires at refineries in Miyagi and Chiba prefectures.
The oil market "is facing selling on the view that economic activity in Japan will stall for the short-term" amid rolling blackouts in areas served by Tokyo Electric, says Tomomichi Akuta at Mitsubishi UFJ Research and Consulting Co.
But with the Fukushima nuclear plant out of commission, demand for oil by fossil fuel plants is set to rise.
(Excerpt) Read more at e.nikkei.com ...
Soon we should be rapidly falling prices at the gas pumps ... right?
What do you know speculation drove it up and speculation drives it down. Let’s have a speculator neck tie party.
Most economists believe that speculators over the long haul smoothe price fluctuations. However, politicians love to blame speculators because, if you can’t blame speculators, that often leaves the public to (correctly) blame politicians and their stupid policies or non-policies. The neck-tie party needs to be for whole battalions of blow-hard politicians (most but not all of them dems) whose idiotic interventions in the market have caused out soaring oil prices.
Not going to happen as Germany and others take older nuke plants off line due to fears of another Japan. Oil will be used and coal plants will have to continue to take up the slack.
Other countries don’t give a crap about Obammy and his pie in the sky green B.S. and oil and coal will continue.
Go to Asia and see how coal is used to heat and cook, everywhere.
Alternating one speculator one politician would be acceptable.
My stocks took a pummeling today. At least falling oil prices were a “silver lining”.
Let's get rid of these financial fleas once & for all!
Of course not. But why would you think that they should fall rapidly?
Looks like you invented a machine that makes money no matter what prices do: they go up you win, they go down you win.
You should publish this stuff, my friend.
We can all see that you believe in conspiracies. But please tell us what you actually about this area.
... and the housing bubble as well as the credit crisis.
Thank you for bringing some sanity to this forum.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.