What goes up must come down, but for how long?

Experts now say the once-booming demand for oil by emerging nations such as China and India, are petering out and that across the globe there is less demand for oil.

The Trucker News Services

11/11/2008

What goes up, must come down, or so it would seem right now as far as oil prices are concerned.How far down will it go? Hard to say since many energy experts earlier in the year were predicting high oil prices and accompanying high diesel prices to extend into 2009.

The Associated Press reported today that abrupt swings in crude prices are taking place daily on the New York trading floor and that the trend for oil and gas prices — for now — is down.

Experts now say the once-booming demand for oil by emerging nations such as China and India, are petering out and that across the globe there is less demand for oil.

Oil prices fell under $60 a barrel today due to fears “that demand for oil is falling as activity across the world’s largest industrial nations sent Brent crude down $2.13 to $56.95 a barrel, reported The New York Times.

At the same time, stated a Nov. 11 Times report, weak demand in the U.S., another large oil guzzler, is continuing and therefore, stockpiles are rising, also contributing to the price slide.

And AP reported that although gas (and diesel) prices continue to decrease, Americans aren’t taking that saved money and spending it elsewhere.

American car sales, for example, are at a 25-year low and large car makers want the government to bail them out, too.

An analyst with Commodity Warrants Australia in Sydney said the promise of China’s stimulus package wasn’t enough to prevent the U.S. economy from continuing to slide further in the hole. “The economic outlook is pretty bleak,” he said.