Efficient Research – Oil Price Plummets!

The price of oil recorded its second largest one-day drop ever seen, following the statement by Mr Bernanke that the U.S economy faces the dual threat of slowing growth and inflation, which points to lower U.S. demand for oil. Intraday the drop amounted to $6.44 per barrel (-4.5%), while compared to yesterday morning, the cooling was somewhat softer at $5.4 per barrel (-3.8%). The Dow Jones remained under pressure and dropped 0.8% to below the 11,000 points level. This came as Mr Bernanke painted a gloomy picture for the US economy including troubled financial markets, declining house prices, a weaker labour market and higher oil prices (in general). Read on