Friday, October 24, 2008

OPEC: Live by the Sword, Die by the Sword

Boo hoo.

OPEC said at an emergency meeting Friday that it will slash oil production by 1.5 million barrels to stem the "dramatic collapse" of oil prices, but crude prices plunged 7 percent anyway as financial markets spiraled downward across the globe

And they'll cut further, they say.

OPEC officials, however, signaled they were prepared to slice deeper quickly if crude continues its freefall

Who's crying loudest?

Iran and Venezuela pushed for a cut of 2 million barrels a day

Regardless,

Oil futures slid $4.46 to $63.38 a barrel on the New York Mercantile Exchange

Best guess? Around $60.00/bbl for the intermediate term.

Pretty soon, you'll hear noises about Bank problems--for those Banks which wrote $Zillion loans to Venezuela and Iran.

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