Replies to post #11347 on Nothing But Politics

[Rick Faurot]

Stocks Seen Lower as Oil Tops $54
Tue Oct 12, 2004 07:04 AM ET

NEW YORK (Reuters) - U.S. stock futures slid sharply early Tuesday, pointing to a weak open for the market as oil prices hit a record high for a sixth straight day, seen as bad for stocks because of the threat to corporate profits and consumer spending.

U.S. light crude (CLc1: Quote, Profile, Research) jumped almost 1.5 percent to touch a peak of $54.45 a barrel as the market worried about production restraints in the U.S. Gulf, Nigeria and Norway thwarting efforts to build winter heating oil inventories.

S&P 500 futures were down 8 points, below fair value accounting for dividends, interest rates and time to expiration on the contract, indicating the market would open lower. Dow Jones industrial index futures fell 64 points, while Nasdaq futures were down 15.5 points.

"We can't find a new high on oil prices and not pay attention to it. Even if we have good earnings news from Corporate America, there's the drag of higher energy prices," said Arthur Hogan, chief market analyst at Jefferies & Co. "Right now, the market is focusing on energy prices."

Stocks have held largely steady despite a 65 percent rise in the price of crude oil this year, with most markets stuck in a 10 percent trading range.

The spike in crude is a major concern for Wall Street, as higher energy costs squeezes profits from most companies, while a rise in fuel prices can curb consumer spending.

[Rick Faurot]

3 US Soldiers Killed, 5 Wounded
2 Iraqis Killed, 27 Wounded

Informed Comment
Thoughts on the Middle East, History, and Religion

Juan Cole is Professor of History at the University of Michigan


Tuesday, October 12, 2004


wire services report that guerrillas killed at least three US soldiers in separate attacks on Monday.

In Mosul, a guerrilla detonated his car bomb in front of a US military convoy, killing at least one US soldier and two Iraqis, and injuring 27 persons with the explosion and in small arms attacks afterwards. (Other guerrillas fired at the convoy from the mosque after the explosion, then disappeared).

In southern Baghdad, guerrillas fired rockets, killing two American troops and wounding five other US soldiers.

Loud explosions shook Baghdad once the sun went down.

In Heet (Hit), a western Iraqi city near Ramadi on the smuggling route to Syria, a major clash broke out between US troops and dozens of local guerrillas. In the course of striking at the guerrillas, the US damaged either a mosque or the shrine of Ali al-Hiti, which caught fire (press reports weren't clear what exactly was hit). Setting shrines and mosques on fire generally makes a bad impression among a Muslim public.

Az-Zaman reports an attack in Baqubah which, however, the US military has not confirmed at this writing.

There were also explosions in Fallujah. The city's elders had gone to Baghdad to negotiate an end to violence with interim Defense Minister Hazem Shaalan.

Guerrillas beheaded a Turk and an Iraqi Kurdish translator on Monday.


posted by Juan @ 10/12/2004 06:30:05 AM