Two talking heads on CNBC within the last hour, on two different segments, two different shows both suggested oil will go to $120.
One pundit noted there is some evidence of "demand destruction" or "pulling away from the pump." But he said that was good news: they will spend their money elsewhere. [Assuming they can get to there, as Tina Fey would say.]
It's good to remember that in his energy security speech President Obama was not concerned, noting that a $10 rise in a barrel of oil only translates to a 25 cent / gallon increase in the price of gasoline. And since gasoline is creeping up 20 to 40 cents, it appears that some folks are talking oil up to $120.
The increasing price of oil was related to a) weakness of the dollar; and, b) inflation. It was noted that disasters (Japanese nuclear reactor/earthquake), political events (Libyan "kinetic military action"), and improving global economy (China, India) might be playing a small role in the increasing price of oil.
Meanwhile, CNBC noted several times this morning that the spread between Brent and WTI was widening once again, after coming closer together last week.
