Port St. Lucie, FL (PRWEB) September 25, 2007
T & K Futures and Options Inc. Believes That Crude Oil Futures Prices May Breach $90 Soon.
Can crude oil futures prices breach $90 per gallon this year? Maybe, if OPEC does not raise its current crude oil production levels and the global economy keeps growing. Currently there are no hurricanes threatening the Gulf of Mexico oil platforms, tensions with Iran are lessening and US oil supplies are adequate, but crude oil futures prices recently hit all time highs in spite of these typically bearish price factors.
The crude oil futures market prices seem to be pricing in tightening global crude oil supplies versus the global demand based on global production capacity constraints. It is our opinion that many of the OPEC countries excluding Saudi Arabia, Kuwait and the UAE are already producing at or near capacity and are unable to increase crude oil production levels above their current output.
The NYMEX crude oil futures prices breached $82 per barrel in spite of weakening unleaded gas futures prices and falling heating oil futures prices. Visit http://www.tkfutures.com/charts_quotes.htm to follow crude oil futures prices more closely.
We believe that without a large increase in crude oil production from OPEC or a lull in the current global economic growth pattern that crude oil futures prices will run right through the $90 price level by the end of 2007. Some analysts are also calling for the daily demand for crude oil to exceed the daily production by the end of 2007.
The author of this article is a 14 year veteran of the crude oil futures market and the president of T & K Futures and Options Inc. Crude oil futures and options investing is very risky and only risk capital should be used. Past performance of the crude oil futures market is not indicative of future results. Visit http://www.tkfutures.com/crude_oil.htm to learn more about investing in crude oil futures and options.