LAT: Stocks Decline on Soaring Energy Prices

[DeepModem Mom]

Stocks Decline on Soaring Energy Prices
By Jesus Sanchez, Times Staff Writer


Spiking energy prices rattled financial markets today as crude oil futures hit a new high and the rise in petroleum and fuel costs were blamed for a bigger than expected trade deficit in June and a drop in consumer confidence.

The Dow Jones industrial average, which at one point was down more than 100 points, managed to trim some of its losses but still ended the day down 85.58 points to close at 10,600.31 Other major financial indexes, including the Nasdaq and the S&P 500, also ended the day lower....

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The run-up in petroleum prices was the major source of anxiety on Wall Street today, with investors growing worried about the broader economic fallout from soaring crude oil, gasoline and other energy prices.

In energy markets, crude oil futures advanced above Thursday's record levels, with the U.S. benchmark crude briefly rising above $67 a barrel before closing at $66.86 on the New York Mercantile Exchange.

The rising cost and demand for imported oil helped boost imports and widen the nation's trade deficit in June to $58.8 billion, up $3.4 billion from May, the Commerce Department said today. Overall imports rose while U.S. exports were stagnant....


http://www.latimes.com/business/la-081205econ_lat,0,3206528.story?coll=la-tot-promo&track=hpmorenews

[no_hypocrisy]

1. Don't worry. Those tax cuts should start to kick in any day now.

Then we'll ALL be rich!!!

[cliss]

2. Whe the price of oil goes up......

the stock market goes down. It's as simple as that. No brain surgeon skills needed here.

Now if you believe in the Peak Oil theory or suspect there might be some truth to it as oil continues to go up, Up, UP.....

I would recommend that anyone who has a retirement plan or a 401(k) plan, to start taking a serious look at that.