Stocks Fall as Oil Surges, Dollar Falls(Dow off 174, oil up to 15 wk high)

NEW YORK (Reuters) - U.S. stocks ended lower on Tuesday as oil prices climbed to a 15-week high, the dollar fell and a 4 percent drops in shares of retailer Home Depot Inc. (NYSE:HD - news) hit blue chips.

Based on the latest available data, the blue-chip Dow Jones industrial average (^DJI - news) was down 173.28 points, or 1.61 percent, to close at 10,611.94. The broad Standard & Poor's 500 Index (^SPX - news) was down 17.36 points, or 1.44 percent, to end at 1,184.23. The tech-laced Nasdaq Composite Index (^IXIC - news) was down 28.30 points, or 1.37 percent, to finish at 2,030.32.


http://story.news.yahoo.com/news?tmpl=story&cid=568&ncid=749&e=1&u=/nm/20050222/bs_nm/markets_stocks_dc


article on oil.....

LONDON (Reuters) - Oil prices surged nearly 6 percent to a 16-week high above $51 a barrel on Tuesday as a late bout of cold winter weather kept heating fuel demand up in the United States and Europe.


Statements from OPEC (news - web sites) members Kuwait and Libya that the price strength meant there was no need for the cartel to reduce output did little to curb the rally.


U.S. crude oil jumped by $2.80 a barrel, or 5.8 percent to $51.15, the highest settlement since Oct. 29. Brent crude traded in London settled up $1.89 to $48.62.


Oil prices have risen more than $5 in the last two weeks to within reach of the record $55.67 a barrel hit last autumn as strong demand growth and disappointing supply forecasts from producers outside OPEC -- especially Russia -- have signaled a heightened need for OPEC's oil.

http://story.news.yahoo.com/news?tmpl=story&cid=568&ncid=749&e=2&u=/nm/20050222/bs_nm/markets_oil_dc

everyone else faces deflation. I didn't think they could surprise me even more. :wow:

we would have all been wise to invest in oil stocks...but...oh yeah..i forgot for a minute...we are too poor to buy oil stocks...that is for the very rich...so, guess it continues to go as planned.

I think we're about to see a round of inflation that will eat up every paper profit the middle class has made in the last 15 years, either in real estate or the market.

Once again, the working class will be blamed for it for being paid so handsomely they can drive up the price of goods and services, just like they were blamed in the 1970s for oil shock inflation.

I'm just wondering if it'll stick as well this time, since wages have never recovered to their pre 1970 purchasing power.

the people in the States simply can't afford things anymore. The Euro is kicking the dollar's ass. It's getting to be a joke. I wanted to go to Europe this summer with my daughter......no way. The prices are out of this world, our money is worth doo doo over there. :mad:

Yet they do...........nothing.

because of ShrubCo's disdain, it's going to get worse before it gets better.

Why everyone from overseas (ie NOT the USA) was jumping on my stuff on Ebay.

Guess not--we is SOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOOO screwed :puke:

Or at least, is within a few years of happening. Hell, kiss our civilization as we know it goodbye.

Hard to believe, isn't it......I think it was on CounterPunch, or maybe Fromthe Wilderness.com. Analysts now believe that Saudi oil has indeed hit its peak. It's simply downhill from here.

In other words, despite Saudi assurances that they've got plenty of oil, they are not able to increase their capacity at this point. As a matter of fact, if they try to suck out too much too fast, something happens to the oil and becomes sand-infused sludge (I think).

It's incredible to think that Saudi Arabia, with the world's #1 supply of oil, is dwindling. Now, suddenly the occupation of Iraq & upcoming adventure in Iran makes more sense.

The big rise in the price of oil seems worth watching. Someone may know something about the expected attack on Iran.

run up.I expected it to get to 11,000 before they pulled the rug out from the small investors and day traders.

when they see news like this?
the profits raked in by the top, the middle squeezed by their buying power and debt, inflation on the rise{i.e. the wealthy have little discomfort to feel from inflation}, etc?

bushco is only a masque -- marionettes, as it were -- there is a whole culture out there that benefits extraordinarily from the constant, grinding pressure that is being put on middle america.