As oil prices continue to collapse:
Almost half the members of the Opec oil cartel are considering an emergency meeting in Vienna next month as oil prices dropped to their lowest level in nearly a year.
Almost half the members of cartel have in the past few days called on the group to act to halt the slide before their next official meeting scheduled to take place in Algeria in late December…
…Their calls came as oil consuming nations moved to bolster their economies in a co-ordinated interest rate cut.
Oil prices on Wednesday resumed their slide towards $85 a barrel, a level last reached in December last year.
Nymex November West Texas Intermediate fell $3.06 to $87 a barrel, while ICE November Brent slid $2.96 to $81.
Too late, OPEC – just like the greedy fools in DC and Wall Street, you went too far imagining that the free ride would last forever…as if the laws of economics had been repealed. Just as no one should ever have allowed those sub-prime loans to be written (and we’re looking at you, Obama, Biden, Dodd and Frank!) so, too, should no one in the oil producing States have allowed oil to ever get above $60 a barrel. Those in charge of the sub-prime mess could have shut off the money spigot before it got out of control – those in charge of the oil mess could have gone flat out on production and exploration as oil started its insane and entirely unjustified rise to more than $140 a barrel.
So, the bad news is that we Americans are stuck footing the bills for the Democrats’ sub-prime idiocy – but the good news is that our oil prices are going to drop like a rock. I really expect gasoline to drop below $2 a gallon before this slide is done.
One other thing about this – Obama, if he wins, says he will impose a windfall profits tax on American oil companies – as if they were responsible for the run up in oil prices…but the thing is, by the time Obama gets a chance to do this, oil company profits will be way down and such a tax will turn what will then be modestly profitable companies into unprofitable companies…and will cause actual shortages in the United States, resulting in a run-up in the price of gasoline. Nothing in the world is more dumb than a doctrinaire liberal…