Oil prices fell back from their highs of nearly $140 a barrel but were still close to $137 as weakness in the U.S. dollar offset plans by Saudi Arabia to boost output.
"I think OPEC will add more barrels next week and it will have to be significant enough for the world to stand up and take notice," said Rob Laughlin, analyst at futures broker MF Global.
Saudi Arabia's invitation to producers and consumers to meet in Jeddah this weekend is in response to the growing protests from consumers over record oil prices that could threaten the health of the global economy.
Some investors feel strongly that the oil market is being manipulated. CJ, a Fast Money fan, writes, " In the recently-concluded G8 meeting , Finance minister from UK and again H Paulson came out with the statement that supply-demand mismatch is responsible for the high oil price while others like Italy and France put the blame on the speculators. It has become so obvious to me that US and UK authorities are helping the speculators, who are mainly from these 2
countries, to reap-in profit from oil futures trading.
Even though Saudi Arabia has increased their oil production, oil prices will not retreat much...the lawmakers of US promised to take action against these speculators ,but again it turn out to be empty promises.
That leads to our Fast Money Reader Poll. Do you think oil prices will come down if Saudi Arabia increases supply significantly?
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