Exxon Mobil Corp. (XOM) and Royal Dutch Shell PLC (ADR: RDS.A, RDS.B) announced record quarterly income of more than $10 billion yesterday (Thursday).  But continued production problems and declining output caused both companies to miss analyst expectations, and concerns about reduced U.S. consumer demand weighed on shares.Exxon Mobil reported that second-quarter income rose 14% to $11.68 billion, marking the highest one-quarter earnings level ever for a U.S. company. The profit, which amounted to $2.22 per share, was up from $10.26 billion, or $1.83 per share, for the same period last year.

Meanwhile, Royal Dutch Shell also was able to breakthrough the $10 billion level when it reported second-quarter income increased 33% from $8.67 billion to $11.56 billion.

On July 11, oil futures…

We’re frankly sick of trying to work out who or what is responsible for high crude oil prices. Whether it’s supply-and-demand imbalance in the markets, as Dave Gonigam argues, or nasty speculators artificially inflating prices, as Andrew Gordan says, we don’t know.

What we can say is that oil is still sky high at $139 a barrel.

Shock Market Trader editor Mike Burnick says there could be a painful correction around the corner. If there is, there’s one sub-sector of the energy industry that would actually benefit big time from such an oil correction: refiners…

For most of 2008, oil refiners have led the race for the world’s worst investment. Refiners have crumpled under the soaring price of crude oil, their biggest cost. Most refiner stocks are down over 50% in the past six months.

An Open Letter to Congress: First there was the trillion-dollar pork fest for energy. Then there was the decision to go with corn-based ethanol.