Boy, wouldn't it be great if we had a President with a better relationship with Saudi Arabia, so maybe they wouldn't keep f'ing us over? Oh wait, we do. Maybe that's WHY we keep getting f'ed over. If you have any friends or relations in the airline industry, you know that all of the layoffs and wage concessions are necessary while the price of oil keeps going up. If we had a President that cared about jobs, he would be pressuring Saudi Arabia right now. Instead, he's more worried about his oil buddies making more money. From Bloomberg:
Crude oil rose in New York after Saudi Arabia said it will cut supplies to Asia as OPEC members reduce output to stem a price slump.
Saudi Aramco, the world's biggest oil company by output, told Asian customers it will supply 8 percent less than contractual volumes in January, the first reduction since May, refining company officials said. The cut reinforces the Dec. 10 decision by the Organization of Petroleum Exporting Countries to trim the group's daily output by 1 million barrels.
The price increase is ``Japan and the rest of Asia reacting to the Saudi cuts to the East,'' said Dennis Kongsiri, a risk manager at Concord Energy Pte, a Singapore-based crude oil trading company. ``The question now is, `Is it enough?'''
Crude oil for January delivery rose as much as 38 cents, or 0.9 percent, to $41.09 a barrel in after-hours electronic trading on the New York Mercantile Exchange and traded at $41.08 at 1:45 p.m. Singapore time.
The Saudi cut has reduced skepticism about OPEC's output cut plan that drove oil down 4.3 percent on Dec. 10 to $40.71 a barrel, the lowest closing price since July 21.
