Global oil prices have risen sharply in the past few weeks. In the daily To Ethnos Giorgos Delastik takes a critical view of this new development:
"In mid-February the [barrel] was at just 32.70 dollars. … Last week the price rose to over 65 dollars. That's a hundred percent increase in the space of three months. What happened? The rise in the price of oil is all the more distressing and, according to the rules of the market that supposedly govern it, unjustifiable. For two things are happening that would tend to reduce it rather than increase it. The first is that global demand for oil is constantly sinking. … At the same time the oil reserves of the major consumer countries are very large. … The explanation for this mystery is simple: the hundreds of billions that the banks in Europe and the US received from governments have not just saved them. Now they have money they've started to speculate on oil prices."
No comments:
Post a Comment