Oil prices fell below $66/barrell on Aug. 17 despite three (3) tropical weather systems brewing (one done, two cooking... "Claudette", "Ana" & Hurcn. "Bill"). The appearance of hurricanes and tropical storms, which can damage oil and natural gas operations in the Gulf of Mexico, were outweighed by new reports today showing that nervous consumers are holding on to their money as the economic recession drags on.
In morning trading on Aug. 17, benchmark crude for September delivery tumbled nearly 3 percent, or $1.80, to $65.71 a barrel on the New York Mercantile Exchange. Prices have fallen nearly 7 percent in two trading sessions. Consumer sentiment (consumers saving more....) is partly to blame and a glut supply of oil exists. Natural gas prices (for September delivery) hoover around the $3.00 on Aug. 17th with the natural gas price for September delivery falling around 10 cents to $3.139 per 1,000 cubic feet in morning energy trading. Some improvement on the horizon for the economic recession? Some economists are now predicting late September 2009 as a possible date of the current recession ending.