Charts of the Dollar, Gold and More

The dollar is running the show, and its rally should weigh on commodities in the short term.

And now some news you can use …

ENERGY

OPEC official says output cuts may be needed
An Iranian official in the Organization of Petroleum Exporting Countries said Saturday that the producers group is considering leaving oil production levels unchanged or perhaps even trimming them to shore up flagging prices and defend market share. “The market is oversupplied by at least 1 million barrels a day. If OPEC would like to remove this additional oil out of the market, then OPEC has to cut some production,” OPEC governor Mohammad Ali Khatibi told Dow Jones in a telephone interview.

Crude Oil: Supply and Demand Prospects
Despite the high prevailing prices, demand in 2008 is expected to total 86.9 million barrels compared to 85.96 mb/d in 2007. For 2009, global oil demand is expected to reach 87.7 mb/d.

Did you hear that Alaska has more oil than the Middle East?

Busting the myths about cheap and unlimited oil being broadcast by Rush Limbaugh, Jerome Corsi and other ignoramuses.

Goldman Cuts U.S. Natural Gas Price Forecast 23% Citing Higher Production Goldman Sachs Group Inc. cut its U.S. natural gas price forecast for the Northern Hemisphere winter by 23 percent because of higher-than-expected output and lower demand from power plants.

ECONOMY

Bracing for Inflation
Growing evidence suggests American consumers, businesspeople, and political leaders should all be bracing for double-digit inflation, probably as early as 2009. The skyrocketing price of oil is obviously a central element in the accelerating price spiral. But a sea change in China’s role is beginning to have a huge impact as well.

US Banks Scramble To Refinance Long-Term Debt
Battered US financial groups will have to refinance billions of dollars in maturing debt over the coming months, a move likely to push banks’ funding costs higher and curb their profitability, say bankers and analysts.

The banks’ need to raise capital to offset mounting credit-related losses is forcing them to pay higher interest rates to entice investors.

CHINA

China raises tax on big cars to curb pollution
But cars with an engine size of between 1 and 2.5 liters, which account for nearly 90 percent of the world’s second-largest car market, will have their tax rate unchanged.

1. Fox Business — Talkin’ ‘Bout Oil I’m appearing on Fox Business TV at 1:00 to 1:06 today on the Stuart Varney Show. Stuart’s a good...
2. Charts on Gold, the Dollar, Oil — and News … I”m traveling today, but I’ll be back in the office tomorrow. In the meantime, here is some news you...
3. WWOD (What Will OPEC Do?) Here’s the official line … Saudis imply OPEC will hold production steady VIENNA, Austria - OPEC powerhouse Saudi Arabia...