Ben Bernanke is in one of his short term money tightening modes Money growth (M2 nsa) over the last three months is actually negative, yet oil is up over 50% for the year.
Plus, declining demand in the U.S., the world's biggest oil consumer, has pushed up total inventories of crude oil, gasoline, and other petroleum products to the highest level in 19 years. U.S. demand in the first half of 2009 was the weakest in a decade, while global consumption fell in the second quarter to the lowest level in four years.
An oil break looks very possible to me.
...unless the dollar crashes. Maybe I'm nuts, but I check CNBC.com every morning expecting to see a big headline to that effect.
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