Oil prices still close higher as traders doubt ability to deliver

From the Washington Post:

Matthew R. Simmons, chairman and chief executive of Houston-based Simmons & Co. International, an energy investment bank, said he did not believe the Saudi numbers. “They’re basically lulling a lot of people into saying, ‘We don’t have anything to worry about,’ ” Simmons said.

By Justin Blum
The Washington Post
Updated: 2:58 a.m. ET Aug. 12, 2004

WASHINGTON – Saudi Arabia sought to calm turbulent oil markets yesterday by offering to boost production, but after an initial drop in prices the cost of oil rose again by day’s end.

The Saudis’ failed attempt to jawbone prices lower suggests to many industry specialists that current conditions