A new low amongst lows, but who gives a crap
Yesterday the March ’09 contract hit a new low of $33.55, besting the pre-Christmas low of $35.18 for February delivery.
Few words from the media on this – they are too busy making hay of some easily misinterpreted somewhat odd batshit crazy questions fired at bank CEOs the other day.
While prices at the pump are a little slow to reflect the ever downward slide, it’s smart to keep in mind that this one component of cost of living touches virtually everything. And it’s my view that this ‘chapter 2’ of the summer rally is the sole reason why Americans don’t quite see the economy falling headfirst into the abyss (at least just yet). If the wholesale printing of monopoly money by ‘our saviors’ forces oil producing countries to turn off the pumps, it’s watch out below.
Editor’s note: As oil rallied over the summer, Congresswoman Maxine Waters was screaming for the nationalization of energy companies. No word from Ms. Waters on how that move is progressing, but Congress has crammed billions down the throats of more than a few banks that probably didn’t need it, and Ms. Waters is off her lithium once again.
Would someone please make a run on ‘meet your mate locally’ dating service lawn signs and ‘my kid is an honor roll student’ bumper stickers? Maxine Waters can hold a few quick hearings with those entrepreneurs, and subsequently nationalize those industries. Then, whomever is left in charge at Congressional Kiddie Club while Nancy Pelosi is sitting on the beach with the pope can maybe get a few issues addressed, and we can be on our way to recovery.
UPDATE: The media finally catches wind of the issue. The fact that gas isn’t plummeting too is pricing disparity between the quotes above and Brent Sea, combined with the fact that refineries have taken a break. But I wouldn’t hold my breath on gas hitting $2.50 – gasoline futures are catching on to the crude mentality.