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["Don Bowen" <don.bowen AT earthlink.net>]

> I heard a financial talk show host that blames the price of fuel, at
> least in part on the weak dollar. Almost never, do I hear anyone
> blaming the poor value of the dollar on oil prices.

The dollar slide has had a huge affect on oil prices. (one dollar = .643 
Euro)  Oil producing countries are charging more to make up the difference. 
Oil prices are given in dollars but some countries are charging in Euros, 
most notable Iran and Venezuela.  Other countries are exploring dropping the 
dollar in favor of the Euro or a market basket of currencies.  The market 
basket approach allows them to pick and choose the best rates.  If either of 
those approaches were chosen over the dollar you could expect even further 
slides in the dollar, the need for oil importing countries to purchase 
dollars is one thing propping it up..

The dollar is down for many reasons.  A big one is the rest of the world 
looking at out unified budget debt and cringing.  That debt is somewhere 
around $18T and growing.  Other things like the credit crunch are adding to 
world wide worries and the Iraq quagmire looks to be another huge drain on 
our economy.  Inflation worries are also making our currency less than 
desirable on world markets.

Don Bowen      KI6DIU
http://www.braingarage.com/Dons/Travels/journal/Journal.html