I'm worried about the fallout from the Fukushima plant blowing radiation down to Guam even though it is unlikely that Air Mike will be sending planes to Sendai. The markets are worried that Japan's economy is going to take a hit from the devastation of the earthquake, the tsunami, and the nuclear plant meltdown. No one seems to know if Japan will need more oil to keep the economy going and build oil or coal-fired power plants to replace the nuclear plants that have been damaged by the earthquake and tsunami or whether economic activity in Japan will fall so much that extra energy will be unnecessary.
It was because of this thinking that WTI prices went down then went up during the trading day before ending virtually flat. Brent also barely moved from last Friday while gasoline went down while distillate went up. Today: WTI +25¢, $101.19; Brent -5¢, $113.64; gasoline -2.36¢, $2.9603; distillate +3.56¢, $3.0609.
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