Natural gas surged to a 15-month high inspired by a bullish supply report from the EIA. While many attribute the surge in demand to all of the cold weather, just below the surface something much more significant is going on.
In the past when OPEC’s back has been against the wall, like the late-1990s, energy prices and demand rebounded to save them from the ash heap of history. Yet this time may be different. Why? Because OPEC is not the only game in town!
As we get ready to say goodbye and good riddance to 2012, we are also saying goodbye to oil’s historic run. Unless oil make a last minute run it appear that West Texas Intermediate oil could have its first losing year since the meltdown in 2008