Scribbles

[Bryan (a.k.a. Bryan)]

After the 9-11 attacks many were talking about ways in which consumers could reduce their oil consumption even if only by a token amount. Sure, we are in a recession....that's obvious. But isn't it interesting how oil is reacting in all of this, right on the heels of U.S. Winter? You would think that oil would be on the high end of the range but it's sinking, even amid talk of production cuts. Hell, I'm not complaining. Nobody wants to see energy bills like last Winter!!

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http://www.wtrg.com/daily/crudeoilprice.html


OPEC ministers warn of 'Price War'

The United Arab Emirates and Qatar said today a battle for market share loomed unless producers cooperated to prevent an oil glut, as world demand grows at its slowest rate in 17 years. Russia, Norway and Mexico, the three largest non-OPEC exporters, have resisted the calls to lower output.

The oil minister from Qatar, the smallest producer in the Organization of Petroleum Exporting Countries, said non-members risk a plunge in prices to late-1998 levels of around $10 a barrel if they don't help remove at least 1 million barrels a day from the world oil market. OPEC, which pumps about 40 percent of the world's oil, will not keep reducing supply if others just replace it with their production, he said.

Lower demand from consuming nations has helped send OPEC's crude oil index to $17.81 a barrel, the lowest level since July 8, 1999. With the so-called basket price down 33 percent since Sept. 11, OPEC members may vote for another output quota reduction at a Nov. 14 meeting.

http://quote.bloomberg.com/fgcgi.cgi?ptitle=Energy%20News&s1=blk&tp=ad_topright_energy&r...