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Oil Surges Above $103 As Dollar Weakens
Mar 2nd, 2008 by admin
From Yahoo! Finance:
By John Wilen, AP Business Writer
Oil Jumps to Record Above $103 As Weakening Dollar Attracts Fresh Capital to Market
NEW YORK (AP) — Crude prices extended their march into record high territory Thursday, shooting up more than $2 a barrel as a falling dollar and the prospect of lower interest rates attracted more investors to the oil market. Retail gas prices, meanwhile, rose closer to records above $3 a gallon.
Light, sweet crude for April delivery rose $2.95 to settle at a record $102.59 a barrel on the New York Mercantile Exchange. Prices continued rising after the Nymex closed, setting a new trading record of $103.05 in Asian electronic trading before slipping back to $102.92.
A pair of dismal economic reports drew more money into the oil market, as did Federal Reserve Chairman Ben Bernanke’s comments that the economy is not immediately threatened with stagflation, a combination of economic weakness and rising inflation. The Commerce Department said gross domestic product grew at only a 0.6 percent rate in the fourth quarter, below estimates and at only a fraction of the previous quarter’s growth rate, while the Labor Department said applications for unemployment benefits rose by 19,000 last week, more than expected.
Sphere It
I’ve tried to think it over and I guess this is just a rumor. I hate rumors that ruin private life so advise you not to believe it and leave your comments by yourself.