Friday, May 14, 2010

Exxon Mobil (NYSE:XOM) Down as Crude Plunges

Crude oil prices continue to plunge, bringing energy companies like Exxon Mobil (NYSE:XOM) down with them. Exxon today fell has fallen by over 2 percent as of a little after 1:30 P.M. EST, and crude oil was as low as $72.60 a barrel on the New York Mercantile Exchange, a 2.4 percent drop.

Much of this is because oil inventories are much higher than expected, implying consumer spending is down in relationship to that.

This could, and probably will continue on through the summer, as the economy continues to sputter, contrary to massaged data where official attempt to paint the brightest economic picture they can.

The sovereign debt crisis in Europe and China battling inflation will continue to pressure raw materials and products as they cut back in order to stop the collapse of their economy, in the case of Europe, and the bursting of a bubble in China.

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