Oil Experiences Biggest Drop in 17 Years

Yep, you heard right. The price of oil has gone from making a negative record to making a positive one, all within a period of just two months! Today, the price of oil dropped a whopping $6.59, making it just $114.59 a barrel on the New York Mercantile Exchange.

The last time prices underwent this big of a drop was on January 17, 1991. President George H.W. Bush responded to the decrease by withdrawing oil from the Strategic Petroleum Reserve at that time. But in 1991, the change represented a 33% drop in prices, as opposed to the 5.4% that this drop brings. Obviously, this is just a drop in the bucket for the oil companies.

Were trending towards a lot of oil price volatility on the direction of the dollar, says Peter Beutel, an oil analyst at Cameron Hanover. There are huge amounts of money involved, and the large moves have been based primarily on dollar strength.

Oil reached an all-time record high in mid-July, when it was $147.27 a barrel. The price drop can be attributed to America lack of demand for gas, which went down by 9.5 million barrels a day from its usual amount at this time last year. Thank God that the masses are finally pooling their energies and fighting back against this ridiculous debacle. But since The Dean owns USO, hes once again playing contrarian and rooting for higher oil prices!

Yep, you heard right. The price of oil has gone from making a negative record to fashioning a positive one, all within a period of just two months! Today, the price of oil dropped a whopping $6.59, making it just $114.59 a drum on the New York Mercantile Exchange.

The last time prices underwent this big of a drop was on January 17, 1991. President George H.W. Bush responded to the decrease by withdrawing oil from the Strategic Petroleum Reserve at that time. But in 1991, the change represented a 33% drop in prices, as opposing to the 5.4% that this drop brings. Obviously, this is just a drop in the bucketful for the oil companies.

Were trending towards a lot of oil price unpredictability on the direction of the dollar, says Peter Beutel, an oil analyst at Cameron Hanover. There are huge amounts of money involved, and the large moves have been based in the first place on dollar bill strength.

Oil reached an all-time enter high in mid-July, when it was $147.27 a barrel. The price drop can be attributed to U.S.A. lack of necessitate for gas, which went down by 9.5 one thousand thousand barrels a day from its usual amount at this time last year. Thank God that the mass are at last pooling their energies and fighting back against this ridiculous debacle. But since The Dean owns USO, hes once again playing contrarian and rooting for higher oil prices!

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