Oil In Free Fall

It seems like the price of oil is falling faster than a rock thrown into the abyss. A few months ago, when oil broke $100, I thought oil would fall to $60 or even $50 a barrel. I said that at a time when the oil expert, T. Boone Pickens, was predicting that oil would only fall to $80 before rising again. When oil broke $60, I wrote in this blog that oil could hit $45. Well, oil just blew through that level and is now trading at a little over $43. Recently, the brokerage firm of Merrill-Lynch predicted a level of $25 a barrel (See Full Story). If prices were to fall that low, gasoline would easily go below $1 a gallon.

With prices this low, all the chatter of pushing for alternative energy sources has pretty much been put aside. Further, the average "Joe" and his family is getting a much-needed break on their monthly expenses; especially the cab drivers and truckers of the world. Better than that, some of our biggest enemies in the world are getting hosed with these low prices. Iran, Russia, and Venezuela are the ones that are getting hurt the most.

In a way, oil coming down has been a win, win situation for everyone except the environmentalists and global warmists. Further, the economy has put any forced carbon taxation on hold. That means your energy prices will continue to fall without our government forcing higher prices due to any "carbon" restricted measures. Before all this happened, a lump of coal for Christmas was getting to be out of the price range for most Americans. Now, it appears that there might be something to be happy about during this Holiday Season.