http://www.bloomberg.com/news/artic...ts-crude-pricing-to-asia-u-s-amid-weak-demand "Saudi Arabia cut pricing for November oil sales to Asia and the U.S. as the world’s largest crude exporter seeks to keep its barrels competitive with rival suppliers amid sluggish demand." I wonder what the implications will be for NA oil drillers. It seems to me that the sagging global economy that is reflected in this move will further impede any move by the Fed this year.
Buyers will seek the cheapest oil in the market. If NA drillers can't match the prices then I suppose they won't be selling their oil for some time. In the meantime consumers should enjoy the low prices [if they reflect at the pump]. As for the anticipated Fed hike . . . http://www.thestreet.com/story/1331...uld-force-fed-rate-hike-delay-until-2017.html Forget 2015 and even 2016. The Federal Reserve may need to wait until 2017 to raise interest rates.
Last night's Bloomberg Trending show (10 pm Su-Thu) reported virtual exuberance in the Asian markets over the failure of the Fed's failure to raise rates. Asia markets kept their gains, and Europe is on its way to a good day. Let's see how my little bit of energy/oil holdings do today. Giddyup.
Not so good news for people involved financially with oil, but good news for the people at the pumps. I just wish the price was reflected at the pump truthfully. I heard a report on the radio a few days back saying that with the price of oil at the moment, consumers should be paying something like 74p per litre of petrol at the pumps, when in fact the price is around £1.09 a litre at the moment. Back in the early part of this year annalists were saying the price was going to drop below a £1 a litre within a few months, but that hasn't seemed to materialise...
