"If the dollar had maintained its year 2000 value, oil would be $30/barrel today" - Thom Hartmann ..

[Bozita]

... while speaking to Senator Bernie Sanders.

[n2doc]

1. Compared to what?

The Euro has approximately doubled. So taking that as the level then $50 is more like it. Against gold, well maybe, but who is to say gold is the perfect reflector of the Dollar?

[Bozita]

4. IMHO, it seems that $50 would be more accurate. The Euro is fast becoming the medium for oil trading

[n2doc]

7. The interesting thing is, oil hit $50/bbl about this time last year

It was the low, but at the time most of the economists were predicting still lower prices.
The point is that oil is influenced by the dollar's weakness, but it isn't a 1:1 relationship. Lots of other crap going on causing it to go up.

[lutefisk]

5. It's not just the dollar- it's the Iraq/War/Crazy-President Premium

It all comes down to the Republicans and the Bush "reverse-Midas-touch"

[Demeter]

2. The Dollar Lost 10% of Its Value in 2007 Alone

Bush has effectively devalued the dollar to 1/3 of what it was worth when he started.

And that's an optimistic guess, at best.

[Selatius]

3. I don't buy that. It would likely be closer to 50, not 30.

Right now, oil sits at 97.50 or somewhere close. The Dollar has lost roughly half its value since Bush came to power and began deficit spending.

[ThomWV]

6. I'm afraid that would have to put the Euro at about $3.00, and it ain't even close to that.

Sorry.