Listeners have been wondering about the fall of gas prices in some places. "Do the dropping gas prices in OH have anything to do w/the economy?" writes Terri Weiss. "Avg. price is $3.35 here but other places have shortages."
My daily dose of currency news from Brown Brother Harriman just landed.
Analyst Win Thin writes that yes, prices are going down because producers are worried about a global recession. Three months ago, crude sold for nearly $150 a barrel, pushing prices the pump well past $4. That same barrel is going for closer to $87 now, partly because the U.S. has more crude and gas stockpiled than expected, partly because no one's sure consumers can still take the hit.
How low might crude go? OPEC may meet on November 18, when the Nigerian energy minister says the group may debate a cut in quotas. Read: less crude, less gas, higher prices. Because OPEC members won't let the bottom drop out if they can help it.
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