Crude oil rose over 5% and Natural Gas was up as high as 12% on news that the winter in the United States is about to get colder, and talk that Saudi Arabia may curb oil production. It is likely that this surge is not over, and many economists feel it may develop into a long-term trend toward $60-plus per barrel, considering not only consumer demand during the summer, but also investor demand during the hurricane season.

The Federal Reserve began its policy meeting today and is expected to keep interest rates stable. Numerous statements have indicated that core inflation is at an acceptable level and a recession is not likely. Fed officials have recently stated that rates are “well-positioned” for any unexpected events in the near future.

This entry was posted on Tuesday, January 30th, 2007 at 9:03 pm and is filed under Uncategorized, Stock Market, Alternative Investments. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.