New record high oil price based on shortage speculation

Crude oil closed above $80/barrel for the first time today – with West Texas Crude ending up at $80.09 on New York markets. Oil from Alaska’s North Slope didn’t quite reach the same benchmark prices. The Department of Revenue reports it closed at $79.59. Department of Revenue Economist Michael Williams says the current high prices are based on an anticipation of a shortage of supply for U.S. markets. Hurricane Humberto made landfall early this morning along the Texas-Louisiana coastline, shutting down three refineries.

Dave Donaldson, APRN – Juneau