Quoted on theAustralian Oil dives, and you can mention the war
- Commodities bull Jim Rogers insists he isn't losing faith.
"I've been hearing the commodities bubble is dead for seven years," he says. "Maybe it will end, but I don't think it will be for another" several years. The market is simply consolidating, Rogers says.
He points out that investors wrote off gold because it reversed a climb upwards in the 1970s for two years. But then it went on to much greater heights.
And of course not everyone would agree. Quoted on that same news article.
- Citigroup analyst Tim Evans, who has repeatedly argued that oil was overpriced, says that the momentum has swung to the bears.
"The petroleum markets are considering a swing back to the upside, but seem to be having difficulty fighting off the ongoing flow of selling."
Last night the crude oil closed much lower. Demand concerns send oil lower
- U.S. crude for September delivery fell 99 cents to settle at $115.01 a barrel on the New York Mercantile Exchange.
Oil fluctuated wildly in the day, spiking as high as $117.42 earlier in the session, then falling as low as $112.59 before rebounding some. Oil rose nearly $3 Wednesday.
Demand concerns: Concern about slowing demand weighed on oil after two reports pointed to further economic weakness in the United States, the world's largest oil consumer.
A report from the Labor Department showed that consumer price inflation jumped to 5.6% in July. A second report showed that jobless claims fell last week, but were still well above economists' forecasts.
"I think the numbers that came out today suggest that demand weakness in the U.S. could continue," said Brendan Fogerty, commodities research analyst with Lehman Brothers.
A weaker U.S. economy affects not only demand from drivers, but it can also weigh on commercial fuel use if consumers buy fewer goods.
How?
Would you be Keeping the Faith like Jim Rogers?
Me? All I know is I love Bon Jovi's Keeping the Faith! :D
Posts
0 comments:
Post a Comment