Tuesday, October 28, 2008

BP makes $10 billion profit - record

The consequences of $100 oil were:
1) higher investment in alternatives
2) investments in deep water drilling

With the price having fallen, probably, those investments have been scrapped (along with the electric car industry).

Once the above are dead and buried, we will see the oil price move inexorably higher again. Market participants will be wary to burn their fingers again...
clipped from news.yahoo.com
A sign for a BP petrol station is seen in London October 27, 2008. (Toby

"We think the current turmoil may in fact create opportunities for us and we will look at those very closely," Hayward said in a statement.

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