why the drop in crude price?

Neily at the peak · Post by **Neily at the peak** » 11 Dec 2009, 18:55

Down from nearly $80 just a few weeks ago to under $70 as I look at the ticker at the bottom of this page.

Any ideas anyone?

Neil

Post by **adam2** » 11 Dec 2009, 21:20

Poorer economic news in the last few days/weeks leading to less demand for oil.
Will probably go up again soon as demand in China and perhaps also India appears to be increasing.

Also a number of new oil discoveries have been announced recently, and such news tends to deppress prices, despite the fact that no new oil will be produced for some years.

fifthcolumn · Post by **fifthcolumn** » 11 Dec 2009, 23:53

The strategic reserves are all full now.

Andy Hunt · Post by **Andy Hunt** » 12 Dec 2009, 01:28

Double dip/dead cat bounce.

ziggy12345 · Post by **ziggy12345** » 12 Dec 2009, 06:32

Speculators cashing in their stocks to pay for the christmas skiing trip to Vail

emordnilap · Post by **emordnilap** » 12 Dec 2009, 18:31

It's because our road was cut off by floods and our car sat on the drive, unused for eight whole days.

PS_RalphW · Post by **PS_RalphW** » 12 Dec 2009, 20:38

fifthcolumn wrote:The strategic reserves are all full now.

Globally, reserves are lower now than three months ago. Still fairly full.

(Although, China was buying quite a lot three months ago for their reserves. They are filling reserves as fast as they can build the tanks.)

raspberry-blower · Post by **raspberry-blower** » 13 Dec 2009, 13:37

Another factor to consider is the strength of US$.

A strengthening US$ maybe a sign of investors heading for the exits...