While the plunge to sub-$80 oil came sooner than I expected, if current trends in the global economy and financial markets continue, oil is likely to come under further pressure, taking it towards $60 a barrel. If so,  would take us to oil price levels not seen since early in 2007 and far below last years average.  However if it does so, it might not stay there for long given the marginal costs of oil and perhaps short-term stabilization of financial markets