"each time the dollar falls a percent, the price of a barrel rises by $4",

[ensho]

http://www.atimes.com/atimes/Letters.html


-snip-

Since oil is now $120 a barrel, CIBC simply took the high end of the A range for oil as $200 a barrel for 2012 that OPEC projected. It mightn't have to wait that long since OPEC's president, Algerian energy minister Chakib Khelil, thought that target would be reached in 2009. American lawmakers are pinning the tail of blame on this cartel of oil-producing states for either holding or cutting production levels of oil for historic oil prices putting pressure on world economies and causing disruptions in the marketplace. Yet, big oil companies are registering record profits. At his press conference today in the Rose Garden, President Bush called for drilling in wildlife preserves and for building more refineries. Oil industry watchers point out that America's refineries are operating at 85% of capacity, which may account for the higher prices at the pump. But the last word remains with Chakib Khelil. He simply stated that "high prices are due to the recession in the US" and the weakness in the American dollar. Moreover, he noted that "each time the dollar falls a percent, the price of a barrel rises by $4", and if the value rises, the reverse happens. Conclusion: the weak dollar has to go. But no one should count on that in the short term.
Jakob Cambria
USA (Apr 30, '08)

-snip-
----------------------------


85%

[Winterblues]

1. Remember how much crap they gave Clinton over the value of the dollar?

Rush was the absolute worst.. Wonder how he feels about the value of the dollar now? Clinton turned the slide around and the dollar actually increased in value and Republicans complained about how much that hurt American workers. It seems they just don't have any idea at all about what they are talking about..They have not been correct on anything..

[Andy823]

2. Read this link

http://money.cnn.com/2008/04/30/news/economy/fed.easing.fortune/index.htm?postversion=2008043005

There have been several articles out about how the fed could end the high price of oil, and as you said, it has to do with the falling dollar. If the fed stopped cutting interest rates, the dollar would gain back some of it's value, and oil prices would drop. Problem is the fed doesn't really care about anything except helping the rich get richer, and baling out banks finance companies who lost billions on the housing market scandal. Now those investors are trying to make their money back by buy oil, and food commodities and stock piling them to make the prices skyrocket. Good old Bush and company hare once again giving billions to the rich, and giving the shaft to the American people!

[predfan]

3. We'll be a generation digging out of the mess this bunch of criminals have put us in,

and that is as if it doesn't get worse. Don't count out an October surprise against Iran, just so McCain can use the Bush flight suit to campaign in. No kidding.