Oil up, Dollar down.
Now I get it..the price of oil is tied to the value of our Dollar. So with the Buck hitting an all time low, everyone is investing in Oil? From the IHT writeup:
The immediate catalyst for the spike in energy prices is the drop in the value of the dollar. Currency traders are selling dollars and buying euros to take advantage of the difference in interest rates between the United States and Europe.
The dollar weakened, continuing its steep decline of last week, and the euro rose to a record $1.5274 in early New York trading. The dollar also fell to its lowest level in three years versus the yen.
“The question for oil is where is the dollar going,” said Roger Diwan, a managing director at PFC Energy, a consulting firm in Washington. “That’s going to the main market mover in the short term.”
The question really is..when does it all come screeching down around our heads?