In the chaos of a kill, while the startled stampede, scavengers lurk in the dark periphery seeking to capitalize on the carnage.
Oil holds above $81 as global economy recovers
Oct 23, 8:41 AM (ET)
By PABLO GORONDIOil prices held above $81 a barrel Friday, just below a one-year high, as signs the global economic recovery is gathering pace fueled investor optimism.By early afternoon in Europe, benchmark crude for December delivery was up 8 cents to $81.27 a barrel in electronic trading on the New York Mercantile Exchange. The contract fell 18 cents to settle at $81.19 on Thursday.Investors have taken heart from evidence that recovery from the global recession is gathering pace. China said Thursday that its economy grew 8.9 percent in the third quarter, building on recent improvements in industrial production, retail sales and commodity imports."So far the path of recovery has surprised to the upside," Barclays Capital said in a report. "The groundwork for a sustainable move into higher price ranges has been laid."Crude traders are also eyeing gains on global stock markets, which tend to reflect overall investor sentiment. The Dow Jones industrial average jumped 1.3 percent on Thursday and most Asian and European indexes rose Friday.
Prices soared to $82 a barrel earlier this week, the highest since October 2008, from $32 in December.Many analysts have been warning for the past weeks that the current rally has been driven not by fundamental factors like supply and demand but by the position of the dollar against other currencies and trading related to speculative positions.
As the dollar falls, commodities like oil and gold - which are priced in dollars - become cheaper.
Olivier Jakob of Petromatrix in Switzerland said that higher oil prices could motivate some producers to increase output, adding supply to an already glutted market.
"It is difficult to call the top in a market that is under the influence of the dollar ... but the higher the prices go now, the higher the risk of more supply coming on top of still large stock layers," Jakob said.On Friday, the euro was up to $1.5041 from $1.5026 late Thursday in New York, although the dollar was slightly stronger against the British pound and the Japanese yen.
The euro broke above the psychologically important level of $1.50 on Wednesday for the first time in more than a year.In other Nymex trading, heating oil was down 0.41 cent to $2.0905 a gallon. Gasoline for November delivery lost 0.09 cent to $2.0433 a gallon, while natural gas for November delivery jumped 4.2 cents to $4.993 per 1,000 cubic feet.In London, Brent crude for December delivery rose 16 cents to $79.67 on the ICE Futures exchange.
One year after the whirl's economic collapse and a 77% tumble in oil prices, we stumble in the dark.
Despite the loss of an estimated $6 trillion in wealth, market hyenas and jackals prey on what remains of the whirl's liquid assets. Compounding the misery, other night creatures of humanity have come from the far corners of darkness. Sensing opportunity, the bitter branch of mankind, (the socialists, the anarchists, the anti-capitalists) has renewed it's eternal efforts to impose it's dysfunctional, malcontent view of society. The whirled is in a dark place of chaos and uncertainty stumbling on a rocky path to a still unknown "new normal".
Welcome to the
New Whirled Disorder.
New Whirled Disorder.