Oil 18

'Oil closes on $100 as Asia tumbles over US fears
November 21, 2007

The price of fuel has reached a record high while the Nikkei and Hang
Seng indices plummet over the worsening US economy
Dearbail Jordan

Oil prices nudged $100 a barrel today after surging to a record high
as Asian markets plunged on the back of the weakening dollar and the
deteriorating American economy.

US light crude rose to $99.29 a barrel, a 39 per cent rise in the
price of fuel since the end of August, while London Brent crude rose
50 cents to $95.99 as traders reacted to the prospect of tightening
oil supplies in colder weather.

Gold opened up, from $793 to $804.75 an ounce.

Opec, the 13-country cartel responsible for producing 40 per cent of
the world’s oil, will discuss increasing fuel supplies next month.

However, the price of oil reacted against Opec’s discussions at a
weekend summit meeting in Riyadh, that fuel should be priced in
currencies other than the dollar.

The dollar has weakened today to $1.4841 against the euro and to
109.97 yen, sending the Japanese Nikkei 225 average down 2.5 per
cent, or 373.86, to 14,837.66 points.

The Hang Seng index, in Hong Kong, also fell sharply, down 3.89 per
cent, or 1,079.75 points, to 26,691.46.

Last night the US Federal Reserve cut its forecast for growth of the
American economy from between 2.5 per cent and 2.75 per cent to a
range of 1.8 per cent and 2.5 per cent.

The Fed revealed the change from its June forecast in the minutes
from its meeting when the Federal Open Markets Committee voted for a
quarter-point cut to the US interest rate to 4.5 per cent.'

Lees verder: http://business.timesonline.co.uk/tol/business/markets/article2912816.ece

Opdracht I. Waarom staat deze foto van Bush hierboven? De inzender van het goede antwoord wordt beloond met een chocoladeletter.