Light, sweet crude for September delivery fell $3.98 to settle at $124.44 a barrel on the New York Mercantile Exchange.
Oil has tumbled nearly $23 since setting a record of $147.27 just eight trading days ago on July 11. Prices have not been this low since June 4.
The September futures contract became the so-called front-month contract as the August contract, which fell $3.09 to settle at $127.95 a barrel in the previous session, expired Tuesday. Oil settled down $3.51 from Tuesday’s front-month settle. Oil futures contracts typically expire with seven trading days left in the month." CNN Money
What happened to all the babble on the 24/7 news about the end of western civilization as we knew it? What happened to the images of Ali Velshi (aka – "the bald headed prophet of doom") trudging across the Alberta tar sands, gloating over the pain?
Now, the financial news babes on CNBC, Fox Business, Bloomberg, etc. are looking cautious and pensive as they try to re-adjust their "pitch" to falling prices. Actually, they look pretty good compared to the collection of group thinkers who pass for experts on these shows. People ask how it is possible to listen to the chatter from these shows all day long. That is easy to answer. They are intensely amusing as further evidence of the herd mentality of humans and the instinct for individual survival manifested in rationalizations after the fact.
Perhaps we should look into hedge fund operations. Unfortunately, so many of them are now run by the mediocre and unimaginative that there will not be as many to study soon.
Oh, yes, the oil head game. Don’t fret, those of you who loved it. It will be back after the price gets down to some rational level.
Think for yourselves! PL