John Person Prices Quotations

The real culprit is certainly the unforeseen supply disruptions that could develop out of the Middle East, so the crude-oil markets will remain on the defensive and prices will probably stay above $60 for the remainder of the first quarter.

The demand factor is strictly ruling this market -- supplies are available but are commanding higher prices due to the uncertainties that plague the market -- Iran, Nigeria and global demand is to say the least more of an issue now than ever before.

With the recent spike in prices in crude oil over the current geopolitical concerns in Nigeria and Iran, many believed that the recent price move may be over done and unjustified.

Crude oil tumbled in the final minutes of trading as traders are taking an attitude that prices may not see a substantial gain based on supply disruptions from Hurricane Katrina.

As long as prices hold above the $520 to $540 range, I feel more comfortable remaining bullish.

If prices accelerate too far over $600, people will feel the market is a little overburdened from the long side.

For prices to advance much further from the $11-to-$12 level, we will need to see a boost in consumption, or a setback in getting pipelines operational.