Here’s a quote from a recent WSJ article saying, “Chinese Rate Rise Signals Slow Growth,”
It basically says that the Chinese interest rate rise on December 25 2010 will slow their economy greatly.
“The World Bank expects China’s potential annual growth rate to drop to about 7% between 2016 and 2020 compared with 9.6% from 1995 to 2009.”
Here’s a news update from Reuters online yesterday:
“Oil sentiment has turned decidedly bullish, partly driven by unusually cold weather, but more due to an increasingly optimistic consensus view on 2011 economic performance, especially for the U.S.,” JPMorgan analysts led by Lawrence Eagles said.
Prices rallied on Monday on accelerating manufacturing activity in industrialized economies and icy weather.
Manufacturing in the United States and Europe accelerated in December, while growth in China and India slowed to more sustainable levels in another boost for the global economic outlook.
On Tuesday, a report showed that British manufacturing activity expanded at its fastest pace in over 16 years in December, above expectations.
“The wildcard of natural and man-made disasters steadily adds twists to commodity markets,” it added, citing an earthquake in Chile and floods in Columbia and Australia as contributing to a global commodities rally.
U.S. INVENTORIES
“Increasing demand for heating oil is helping to reduce the inventory overhang,” said Credit Suisse analysts including
U.S. crude futures remain in a stubborn contango, a price structure where prompt oil is cheaper than barrels for later delivery. This market condition encourages storage.
Folks we always come back to personal responsibility. If you will all walk and bike more and drive less, then the demand quotient will take care of itself, we will not get these price spikes and our lives will be more settled
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