Friday, April 11, 2008

Crude Oil, Gasoline Climb to Records on U.S. Inventory Decline

(Bloomberg) -- Oil rose more than $2 a barrel, after touching a record $112.21, and gasoline jumped to the highest ever following an unexpected decline in U.S. crude supplies.


NVDL: This quote from the article is incisive ---
``Domestic demand isn't great but that's not important,'' said Antoine Halff, head of energy research at New York-based Newedge USA LLC. ``Global demand is still growing and that's what matters.''
Everyone believes that high prices will dampen demand. They forget that behemoths like Chindia demand to grow, and South AFrica for example must build World Cup Stadiums. Growth is - as far as some governments and countries are concerned - non-negotiable. As such, fuel prices have a long and painful upward journey yet.

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