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Monday, September 15, 2008

Ike update: Most damage to refineries "superficial"

From the looks of the slide in oil and gasoline pricing on the New York Mercantile exchange today, the latest spike in pricing may be short-lived as predicted.
Gasoline trading down another 21 cents a US gallon (roughly 6.3 a litre)
Oil down almost $5.00 on the news of more economic damage in the face of the Lehman Brothers going under bankruptcy protection.
Damage to refineries in the Houston area may not be as bad as first thought and are facing mostly power outage problems. Remains to be seen how long it will take to overcome those problems. Most refiners describe their respective shutdowns as due to "superficial damage"...

Keep holding back on any purchases as the retreat in gasoline has started and the situation could result in a drop in pricing sooner than first thought.



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