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Supply Fears, Oil Surges: Oops They Did It Again
A major flaw of conventional economic wisdom is blown open

by Nico Isaac
2/19/2008 5:15:00 PM

There is no exception to the power and persistence of social mood. When the time comes for it to trend DOWN, nothing, not even the costliest natural disaster in U.S. history, can stop it. For that very reason, the September 2005 Elliott Wave Financial Forecast went against the bullish crude oil crowd with a special, three-page energy exclusive. In it, our analysts identified a bearish divergence in the price of oil versus the price of a share of Exxon Mobil and wrote: "These signals, combined with street level fears of a gas shortage and the explosion of oil shock books, confirm the message: the coming shock' is not that oil is booming, but that it will fall"....

Filed Under: Crude oil, hurricane katrina, bulls, supply disruptions, perfect storm, OPEC, overproduction, shock, supply/demand
Category: Energy


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