Further evidence here of the correlation between oil prices and the fortune of alternative energy companies.

As it says, "The falling cost of conventional fuel has also taken some of the shine off alternative energy. Ethanol producers Aventine and Verasun have both lost nearly a third of their value since early August. Another ethanol company, Hawkeye Holdings, was forced to postpone its initial public offering last week. "

Ethanol of course is the most sensitive of the alternative energies to conventional oil prices. For all that, I think the fall in oil prices has been overplayed. It seems more likely that what is happening is that we are testing the bottom of a new trading range. That now seems to be $60 - $80. All in all, I think there are still more reasons why the price of oil could still go up, rather than down.

A war with Iran, possibly next year being one of them . . .