Crude oil futures inched upward to $38 in early trading Thursday on the hopes a European rate cut might help the economy, Bloomberg reports. But the market’s fundamental weakness is underscored by OPEC’s somersaults to reduce production, notes the WSJ (sub reqd.). Just this year, oil markets have swung wildly, increasing uncertainty for big producers and consumers alike, in the NYT. The oil market contango has now put 35 supertankers on floating storage duty, at Lloyd’s List.

Hugo Chavez is worried about lower oil prices, but also about falling production in Venezuela, explaining why he’s quietly courting Western oil companies he recently attacked–and they’re so desperate to gain access to oil they may be willing to play ball, in the NYT. Refiners at least are having a field day, as cheaper crude pushes up their margins, in the WSJ (sub reqd.).

Don’t forget natural gas: U.S. prices are now below $5, at two-year lows, in the WSJ (sub reqd.). The Russia-Ukraine natural-gas dispute highlights two big flaws in Europe: The EU has no energy policy and no foreign policy either, also in the WSJ (sub reqd.).

Is fighting climate change worth the cost? The Scientific American covers an interesting debate with Bjorn Lomborg and others—and the jury is still out. U.S. corporates believe cap-and-trade is the best way to tackle climate change, but the idea of a carbon tax just won’t go away, in the WaPo. However it’s done, a pricetag on carbon is the key element needed to juice the new-energy revolution, on the WaPo edit page.

New faces in Washington will help juice the revolution as well. White House climate “czarina” Carol Browner explains how she’ll steer a different tack from the Bush administration, in the WaPo. EPA nominee Lisa Jackson vows science, not politics, will rule the environmental agency, while Nancy Sutley promises to bring an environmental voice to the White House, both in Grist.

Keep an eye on Agriculture as well, as incoming Ag Secretary Tom Vilsack tries to balance support for ethanol with fears he’s a farm-state booster, in the NYT. Meanwhile, Big Coal tries to dig itself out of a hole in Washington, but is encouraged by Team Obama’s tepid support for some old energy, in the WSJ (sub reqd.).

The U.S. will ink a nuclear cooperation deal with the UAE, potentially making the Emirates the first nuclear-energy power in the region, in the WSJ (sub reqd.). Abu Dhabi wants to get as much as 25% of its juice from nuclear power, in Business Week. Britain’s nuclear revival will definitely be foreign-built, as a pair of German companies announce plans to build three new reactors, in The Guardian.

Clean tech investment is going to be “subdued” for at least the first half of the year as the sector grapples with the credit crunch and economic slowdown, at Earth2Tech. An illustration of the tensions between greenbacks and green: Deficit-ridden states are struggling to fund ambitious solar-power subsidy programs, at Greentech Media.