New Deal Democrat wins the Prediction Prize by going against the tide and predicting oil would drop when almost all were predicting $200 oil.
The IEA, which coordinates energy policy in 28 developed countries, will reduce the estimated growth in global demand for a third month in a report tomorrow, according to four former IEA analysts. Energy prices also dropped because of declining equity markets and a rising U.S. dollar.
``It all comes back to the economy and how deep folks think the recession will be,'' said Rick Mueller, director of oil markets at Energy Security Analysis Inc. in Wakefield, Massachusetts. ``Demand is poor and should get worse as the recession deepens.
Oil dropped below $59 a barrel since 2007.