On 18/4/2008 3:56 PM, Stephen A. Lawrence wrote: > > Edmund Storms wrote: >> I'm confused. Perhaps someone on this list has the answer. Everyone >> who has discussed the issues here seems to agree to the following: >> >> 1. Increase in energy cost will drive up food and other commodity >> prices, which will reduce consumer spending. > > Yes, and increasing energy prices are what may very well kill the bull > for good this year. We shall see. I think it's significant that news > stories about oil still talk about "demand" much more than they talk > about "supply" -- it's as though most observers haven't yet absorbed the > fact that "supply" is not going to respond to increased "demand", no, > not this time...
IMO I think the oil industry is worried that demand will peak before supply peaks as the cost of alternatives drops. harry
