No Good News

After searching all available information and after spending almost all morning with our local news analyst we were able to determine that the black gold as we call the crude, fell today...the reason being that oil and gas producers in the Gulf of Mexico restored more output after a mild storm triggered evacuation and production cuts.

US crude for November delivery fell to $81.14 a barrel by earlier this morning to stand nearly $3 below the all-time high set by the October-month contract on Thursday. The local price for the Europe..London Brent crude shed 45 cents to $78.85 a barrel.

The good news is that in the US Gulf yesterday afternoon a tropical depression passed without causing damage, however due to this 595,000 barrels of daily crude oil production, remained shut...due to the weather some 62.7 per cent of the Gulf's oil production has been shut, the highest cut from the region since massive hurricanes in 2005 churned through the region.

All this affects the world crude situation as everything is linked...A string of bullish factors... including falling US crude stocks, worries about inclement weather destroying oil facilities, a half-point cut in key US interest rates and a weak dollar - pushed oil to a record high last week.

WILL THIS CONTINUE...