Oil Flirts With $130
Here in Kansas City, MO, the gas prices are nearing $3.70 a gallon. And with news like this, I’m guessing we’ll see $4.00 very soon.
The June contract for light, sweet crude traded as high as $129.58 on the New York Mercantile Exchange before settling back to $129.12, up $2.07. The imminent expiration of the June contract created additional volatility in the market, and raised the very real possibility that crude could hit $130 before the end of the day, when the contract was ending.
Oil’s trek toward $130 coincided with the Labor Department’s report of an unexpectedly sharp rise in wholesale inflation last month. The combination raised fears that inflation will slice into Americans’ discretionary spending, and that sent stocks falling sharply on Wall Street. […]
Oil prices are now about twice as high as the were just a year ago. Prices have been propelled by a number of factors, including supply concerns, soaring global demand and a sliding dollar.
Do note in this story that oil prices are TWICE as high as they were last year. Why? Well…it couldn’t have anything to do with our devalued currency, could it? All of that borrowed money to fight a war we don’t have to?