21
May
08

Oil at near record levels

Oil price is again at near record levels just above $129. Persistent robust diesel imports into China, the world’s second-biggest energy user, have fuelled prices around the globe. Oil prices have risen sixfold since 2002 as surging demand in China and other developing economies strained supplies and drew in a wave of investor interest.

Predictions thus far:

  • Billionaire investor T. Boone Pickens said on Tuesday he expected oil to hit $150 a barrel this year.
  • Goldman Sachs said a barrel could fetch $200 by 2010. 
  • Societe Generale raised their oil price forecasts for 2008 by $14 to $115 a barrel
  • Credit Suisse raised their oil price forecasts for 2008 by $29 to $120 a barrel.

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