10/29 4:11 EDT - NYMEX Crude Oil At $93.46 - Brent Breaks $90; December Delivery Hits $93.53

On edit - added Bloomberg article.

http://www.nymex.com/index.aspx

Oct. 29 (Bloomberg) -- Crude oil rose to a record $93.80 a barrel in New York after Mexico shut a fifth of its production and the dollar fell to a record low.

State-owned Petroleos Mexicanos, or Pemex, halted about 600,000 barrels a day of output as a storm passed through the Gulf of Mexico, spokesman Carlos Ramirez said in Mexico City. Early today, the dollar dropped to $1.4377 per euro, the weakest since the introduction of the 13-nation common currency in 1999.

``Any bullish headlines are fair fodder for the market at this time,'' said Antoine Halff, the head of energy research at Fimat USA Inc. in New York. ``The Mexicans shut-in a great deal of production, spurring buying today.''

Crude oil for December delivery rose $1.67, or 1.8 percent, to settle at a record $93.53 a barrel at 2:46 p.m. on the New York Mercantile Exchange. Futures climbed to $93.80, the highest intraday price since trading began in 1983. Brent crude oil for December settlement rose $1.63, or 1.8 percent, to settle at a record $90.32 a barrel on the London- based ICE Futures Europe exchange. Brent reached $90.49, the highest since trading began in 1988.

EDIT

http://www.bloomberg.com/apps/news?pid=20601087&sid=amCTYd_2TWL8&refer=home

Maybe by the end of the week.

The only way to drop it back to a reasonable level is to get rid of Stupid and his whole band of merry warmongers.

This is a geological and economic problem, not a political one.

An election is not going to make it go away.

Bush's warmongering and the constant threat of having shipping through the Gulf of Persia closed are what is driving the price up now.

Oil won't go below $50 because of the fall in the dollar, something also caused by insane policies at the top.

Yes, production in many important fields is dropping. It's just not dropping that fast.

Oil is never going back to $50, or anywhere near it.

Ever.

Production doesn't have to decline that fast in order to have a big effect on price, when demand is increasing at a constant rate. In fact, production is pretty much flat at this point. Once it does go into permanent decline, the effect will be even more magnified.

Did Clinton fix the Bush economy overnight?

We'll be lucky if we're not in a full blown depression by then.

That's my point.

And we all saw what that did to oil prices.

A butterfly flapping it's wings in the rainforest, a ripple in a pond, and all that jazz.....

It doesn't take much, when you're talking about the life blood of the world economy.

n/t