This morning U.S. oil prices fell to below $80 a barrel briefly before recovering slightly. The price of oil is still 25 percent lower than its summer peak, and the price at the pump is at a four-year low.
The markets were already spooked by slowing economic growth in Europe and China saw Ebola in the U.S. and it was off to the races with the Dow dropping 200 points yesterday. The market had a rough start this morning as well. It didn't see any relief from cheaper oil, and in fact according to some economists the market could be hurt by it.
Texas is number one in oil production, pumping out around 70 million barrels a month this year, and the glut of domestic supply predicted by some seems to have arrived.
What could the dropping price mean for Texas' shale oil developments, jobs and the economy? Additionally what could the slowing Chinese market mean, considering they are a top energy consumer.
With such volatility in the market, what should we be watching for?
Guests:
- Paul Martin, managing partner & chief investment officer at Martin Capital Advisers
- Keith Phillips, senior economist and research officer at the Federal Reserve Bank of Dallas
