Good morning.

No corporate developements this morning so far so the focus will be crude/natgas/gasoline, the hurricane threat in the Gulf Of Mexico and the fed meeting.

As to Rita...no question in my meteoroligical mind that we will have a major hurricane in the Gulf of Mexico. Many of the long range computer models have shifted eastward and in my view it means there is a real threat again to the oil and gas refineries along the Texas Coast and it is not even out of the question that New Orleans could get hit again. But this is speculation. The official hurricane forecast takes it to the northwest gulf but points out the shift eastward.

Crude is up sharply this morning as is natural gas. I think once Rita becomes a hurricane and begins to move into the Gulf Of Mexico we could see runs back to the Katrina Highs; particularly if there is a real threat to the untouched refineries in Texas. Of course with oil up you can bet that the 10 year yield will begin to rally in price/drop in yield. I think this will put support under MLPS and they should rally. Here is the link to my favorite chart!

Finally this morning scroll down to the bottom of the page and you will notice that i have linked to the Peak Oil Web Ring. You now have a gateway to many excellent blogs about Peak Oil and other energy related concepts. Please feel free to comment about blogs you discover on the ring and i will add them to the permalinks on the side.