For the ninth straight day crude oil prices fell, the longest period of decline since July 2001. Much of that is attributed to a real recovery not really happening at this time, as the areas where it count - fuel and energy, haven't increased in demand as consumers continue to hold on to their capital.
Most of crude oil demand has failed to materialize in developed markets, the key reason crude oil prices continue to fall. Over the last couple of months crude oil prices have plunged 15 percent.
After breaking down through the $70 a barrel barrier, the next level expected to be broken is $65. Analysts say if oil were in reality trading based on its fundamentals, crude oil would be priced below $60 a barrel.
Because of the low oil demand, stockpiles in the U.S. have also increased, putting more downward pressure on the price of oil futures.
In the U.S., which is the largest consumer of oil, usage has been down to 18.5 million barrels a day, a three percent drop from the same period last year.
Confirming people have cut back on energy use to conserve dollars, stockpiles of gasoline have risen for the third week in a row, reaching 216.3 million barrels. That is obviously from people cutting back on travel.
Also climbing extremely high are diesel and heating oil inventories, climbing an extraordinary 25 percent over the five-year average.
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