The price of a barrel of crude oil is floating around $77 as a new report from the International Energy Agency showed that demand for oil is weakening and inventories are growing. A rebounding U.S. dollar is also helping to drive prices further downward:
AP: The American Petroleum Institute said Tuesday that crude supplies rose last week, and traders will be closely watching the Energy Information Administration’s inventory report later Thursday.
…a monthly report on oil markets released by the Paris-based International Energy Agency, said continuing low U.S. demand for diesel — strongly correlated to economic activity — cast doubts on how much more crude would be needed in the world’s largest economy.
“It would seem that the ‘real’ U.S. economy, as opposed to the financial one, is struggling to recover, despite the end of the recession,” the IEA said in its report.
The report goes on to state that if the price of oil continues to rise, the worldwide economy could risk being completely derailed.