Fear Premium News Today

Love your silver linings you try to spin on things. >> so often im talking about bad news. it is nice to have good news for once. >> what is behind, first of all, this 30% spike we have seen all year and why do we think it might be coming down. >> thats not surprising. it is everything we have been seeing happening in the middle east. were in sort of a stalemate situation in the middle east now. and it does not look for the moment that as if this is going to spread to saudi arabia, all the unres...

>> people are sort of stretching their gas tank a little farther than they should. trying to get back to the gas station they know has a lower price. >> reporter: surprisingly, there is plenty of supply. its not a shortage causing these high prices. in fact, opec said theres a glut on the market. estimates are it could produce another 200 million barrels a day, if needed. and u.s. oil refineries are only operating at 81% of capacity. >> its an outrage. its an outrage. >> reporter: oil companies ...

Not so much. >> maybe wishful thinking. certainly serving as a wakeup call today. you know, there has been a lot of fear premium built into the price of oil. sort of this what if situation as far as the happenings in libya and saudi arabia. and so some analysts today are staying after this announcement that we could see prices come down. in fact, i talked to tom, set chief oil and gas analyst over at opus today. he says if we do see that fear premium come out of the price of oil. he forecasts we...

It down to almost a trickle, almost zero, which is where they are now, you basically -- basically what you do is disrupt supply and demand and skyrocket prices. we saw the initial 2 percent rise in crude oil prices. frankly, its a little muted. thats because on the other side of the coin, japan is now -- the theory is with the japanese, with whats going on in japan, the demand side is being affected in japan, supply side being affected in libya. so its almost balancing each other out right now. ...

Between a man and a woman. what this means for the fight over gay marriage yet to be determined. jenna: quick look at the markets today. after certainly a rough day yesterday. the dow is trading down around almost 90 points today. yesterday it had its biggest point drop in three months. were watching this specifically because of whats happening in the middle east and what that might mean for oil prices for all of us. oil futures closed at a 2.5 year high yesterday and today it is nearing $100 a ...