The worry of falling oil prices trumps an Middle East unrest
I find it very interesting that yesterday's Israel attack on Gaza had almost no impact on oil prices and today we have a slight sell off. That tells me oil is going to drop further and any flare up in the Middle East will not impact or push up oil prices. Furthermore, anything other then an all out Iran - Israel confrontation, will cause oil to drop simply because Europe is in major recession, China major slow down and U.S. has runaway deficit problems. So now the question is where does oil bottom over the next few months. $75 a gallon, $70 a gallon, lower? I don't know, but do know you can take the Middle East out of the equation since oil seems to be abundant all over the world and major world economies are all slowing down. As in "drop of oil usage" for the short and maybe long haul.
taking the ME out of the equation is a very dangerous thing. Lets face it, they are the largest producers, OPEC is ME countries, they dictate demand. OPEC will curtail production to keep the prices they want.