Oil Prices Dropping

Full Article @ :http://www.msnbc.msn.com/id/5612507/

SINGAPORE - Oil prices were lower Wednesday after the government reported a substantial increase in the nation?s fuel stockpiles.

A barrel of light crude was lately quoted at $57.95, down 89 cents on the New York Mercantile Exchange. Prices slid to five-month lows last week and are about 20 percent above year-ago levels.

In the U.S. Energy Information Agency?s weekly petroleum inventories data, released mid-morning, the Energy Department said the U.S. crude oil supply went up by more than 400,000 barrels last week. Inventories of distillate fuels, such as diesel, increased by more than 1 million barrels, and gasoline inventories rose by 200,000 barrels.

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With Oil prices dropping and the demand increasing, one has to wonder, are the prices going to rise again? With the supply increasing and the price decreasing, you'd think they'd have lots of sales. Is the increasing supply and low costs going to effect consumers buying gas and oil? Can this help our economy? Or is it just a weekly thing, and some people get lucky with cheap gas and oil?