Meanwhile, Reuters notes that "Tension between Iran and the West over Tehran's nuclear program, which helped send U.S. oil to records above $78 a barrel last July, could also prop up prices." And just yesterday, Senator John Warner called for "gunboat diplomacy" against Iran. So, is the sharp spike in oil prices yesterday a sign of things to come, or simply a one-day aberration?
My guess is that oil prices won't keep surging like they did yesterday, but I wouldn't be surprised to see $60 per barrel soon enough, especially if we get an extended cold snap and increased geopolitical tensions with regard to Iran. Ultimately, any military action against Iran could cause oil prices to exceed $100 per barrel, but for now, perhaps we will simply return to the "anxious market" conditions that have prevailed for much of the past 3-4 years.
At this week's hearing, Davis defended the administration's suppression of science saying, "the issue of politicizing science has itself become politicized.""The mere convergence of politics and science does not itself denote interference," said Davis.
He's an excellent RNC Exec Committee talking head. Or maybe it's all those nickles he took from oil companies talking.
"American forces could be using their two USAF bases in Bulgaria and one at Romania's Black Sea coast to launch an attack on Iran in April," the Bulgarian news agency Novinite said.
The American build-up along the Black Sea, coupled with the recent positioning of two US aircraft carrier battle groups off the Straits of Hormuz, appears to indicate president Bush has run out of patience with Tehran's nuclear misrepresentation and non-compliance with the UN Security Council's resolution. President Ahmeninejad of Iran has further ratcheted up tension in the region by putting on show his newly purchased state of the art Russian TOR-Ml anti-missile defence system.
....at the same time, the Democrats in the Senate are urgently pressing the WH - asking if the Administration feels they have the authority (without further Congressional approval) to attack Iran now.
With a change in weather increasing demand, and continued instability among oil producing nations, the price of crude is moving up- and that affects nearly every aspect of our economy.
There is a direct link between climate change and economic stability because of our dependence upon oil for everything from heat to transportation to food and materials. As we experience wider swings in weather patterns, we may expect wider cost swings in basic commodities that rely upon oil products.
We need to move more quickly to limit our dependence on oil.
Prominent members of corporate America are now ahead of the Bush administration on this issue. Bush and the Congress need to lead, follow or get out of the way.
Check out the recommendations of the US Climate Action Partnership, which includes high-profile corporations like Alcoa, Caterpillar, Dupont, GE, Duke Energy, (http://www.us-cap.or...).
They presented very specific recommendations to Bush prior to the SOTU address, which you can find in PDF format here: http://www.us-cap.or...
Key to their recommendations: set mandatory caps on carbon emmissions for stationary sources (electric utilities), and build incentives for low CO2 emission vehicles.
Recently, Speaker Pelosi sent out a mass email asking for recommendations about global warming initiatives. I think that the recommendations from USCAP would be a good start.