Is Crude Oil on Course to hit $100 per barrel?
Gary Dorsch, Editor, Global Money Trends October 19, 2007 editor@sirchartsalot.com Tension in the Middle East has always been a favorite tactic for the “Axis of Oil” – Iran, Russia, and Venezuela, to keep the price of crude oil pegged at artificially high levels. Talk of war in the world’s most unstable region can inflate a hefty “war premium” into each barrel of OPEC and Russian oil. In the Middle East, wars seem to break-out every few years, and lulls in the fighting are often just a timeout, in order to re-supply and prepare for the next round of fighting. Earlier this week, crude oil jumped $4.50 to as high as $88.20 /barrel in New York, and is commanding a “war premium” of roughly $10 /barrel. The price of West Texas Sweet is $10 /bl higher since Sept 12th, when the OPEC cartel agreed to boost its daily oil output by 500,000 to help meet winter demand. But the token increase in OPEC output has done little to hold down surging premiums for Mid-East oil. Instead, with the Americans
