Bin Laden Dead
Osama Bin Laden and his cronies proved to be murderous cowards until the end. The reports that Bin Laden tried to use the women in his compound as human shields is a disgusting end to a disgusting life. Bin-Laden who opened up the gates of hell and attacked and killed innocents in the hopes of destroying the human spirit met his end in Pakistan.
With his demise, it becomes abundantly clear that in the end Osama Bin-Laden was a despised, dismal failure. He wanted to destroy freedom, yet freedom reigns supreme! He wanted to destroy democracy, yet across the Arab world democracy is taking hold. He wanted to vanquish the human spirit, yet that spirit shines brighter than ever before. This is a major victory in the "War on Terror!”
For oil, initially this is a bearish development as traders take out what I call the "terror premium." Still, before the market gets too excited, it is possible that the risk for supply has gone up. Al-Qaeda has been a threat to oil supply and fears of reprisals could support this market and despite short-term positive feelings about this, the threat has not gone away.
Despite reports over the weekend that Moammar Gadaffi’s son has been killed, the war goes on in Libya. China is now calling for a cease fire and there are fears that support for the war may be faltering. Dow Jones reports that The International Energy Agency's Faith Birol warns that surging oil prices might continue to climb, particularly as refiner demand for crude is expected to raise 3M barrels/day by July. Birol also warned prices are putting the economy, "in the danger zone" while hoping OPEC boosts output at its June meeting. We should see some big swings today!
Phil Flynn is senior energy analyst for PFGBest Research and a Fox Business Network contributor. He can be reached at (800) 935-6487 or at email@example.com.