okie52
7/22/2011, 04:40 PM
With his strategic oil release:
After the IEA Experiment, What's Next for Oil Prices
byKent Moors Ph.D. | publishedJuly 22nd, 2011
The Paris-based International Energy Agency (IEA) announced yesterday that it would not continue releasing oil reserves into the global oil market.
The decision last month to release 60 million barrels from member strategic reserves, with 30 million coming from the U.S. Strategic Petroleum Reserves (SPR), did have an initial downward impact on oil prices.
But that turned out to be short-lived.
On June 22, when the surprise announcement was made, West Texas Intermediate (WTI) benchmark crude closed at $94.425 in New York, while Brent crude in London ended at $113.77.
At market open today, WTI stands at $99.175, and Brent is up to $117.80.
Thus ends a one-month experiment that has been largely a failure.
After the IEA Experiment, What's Next for Oil Prices
byKent Moors Ph.D. | publishedJuly 22nd, 2011
The Paris-based International Energy Agency (IEA) announced yesterday that it would not continue releasing oil reserves into the global oil market.
The decision last month to release 60 million barrels from member strategic reserves, with 30 million coming from the U.S. Strategic Petroleum Reserves (SPR), did have an initial downward impact on oil prices.
But that turned out to be short-lived.
On June 22, when the surprise announcement was made, West Texas Intermediate (WTI) benchmark crude closed at $94.425 in New York, while Brent crude in London ended at $113.77.
At market open today, WTI stands at $99.175, and Brent is up to $117.80.
Thus ends a one-month experiment that has been largely a failure.