This week saw crude oil slightly down from 18 month high levels of US$87 a barrel all week, however, oil prices plunged by almost 3% on Friday on news that US securities regulators charged Goldman Sachs Group with fraud. After the Goldman Sachs fraud, disappointing earnings by some top companies and data showing that single-family home construction declined, crude oil fell to US$83.2 in New York and to US$85.9 on the ICE futures exchange. A strengthening U.S. dollar and demand concerns also contributed to this week’s slight decline.
The U.S. Securities and Exchange Commission (SEC) charged Goldman Sachs for defrauding investors over subprime mortgage securities, alleging that the investment giant failed to disclose crucial information on its securities. Concerns over Greece debt problems resurfaced on reports that the size of the country's much-anticipated bond issue could shrink or get abandoned.