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Post# of 4973771
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Sunday, 03/20/2005 11:32:05 PM

Sunday, March 20, 2005 11:32:05 PM

Post# of 4973771
About Oil- just remember that currency values also factor in. Any long term strengthening of the dollar will stabilize oil prices. But also remember that Russia is trying to start a new anti-OPEC cartel, one that will include Venezuela and planning to sell oil in a gold backed ruble only (not $). If that happens, oil goes to >$80.00 overnight just based on conversion prices. Then if OPEC fights back with its own gold backed currency (something that they have been threatening for awhile), oil goes to, believe it or not, >$100 a barrel overnight. At least that is what I have heard economists and investors saying. Believe it or not, based on different currency values and demand scenarios that could happen I have heard estimates higher that $150 a barrel!

Oil will be huge this year. A lot of factors will keep pushing it up. We should see cycles but net momo will be upwards all year long. The downside will be, of course, that so many products depend on oil that inflation will be rampant.



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