As supplies rise, demand growth is slowing and Hurricane Wilma has missed the key oil and natural-gas facilities in the Gulf of Mexico, oil prices have begun sliding. Light sweet crude oil for November delivery settled US$1.38 lower at US$61.03 a barrel on the New York Mercantile Exchange. Brent crude futures for December fell to US$57.91 a barrel on London's International Petroleum Exchange.
Many feel that prices are still very high and could move higher as the Northern Hemisphere winter approaches and demand picks up again in Q4. The recent drop in gasoline demand will gradually reverse itself as pump prices fall and considerable amount of industrial demand for natural gas will return to the market as the Gulf Coast continues to recover from hurricanes Katrina and Rita.
21-Oct-05 
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