Oil is on the slide again, down to $104.25 as Hurricane Ike is forecast to weaken. Also contributing to weak oil were comments by the Saudis that cutting supply ahead of the seasonally strong winter season does not make sense.
Sliding oil helps on many levels. It helps reduce the US trade deficit, which in turn requires less reserve diversification and also helps improve consumer demand as disposable incomes rise. Big dollar pluses, to be sure.