Dubai: Consumers worldwide will have to come to terms with a $100 per barrel oil price sooner than expected and adjust their earnings and savings accordingly to cope with it, according to global forecasts.
The oil price crossed $84 a barrel on Friday, on Iraq-Turkey tensions.
Analysts warned the high price is going to take its toll on consumers already feeling the pinch.
Although global oil demand remains virtually unchanged at 85.9 million barrels per day (mb/d) as per current figures to 88mb/d in 2008, the tendency of speculators to push up prices on any pretext needs to be addressed, analysts said.
Your comments
Although the political tensions and differences between the various countries seem to take precedence, the real issue/cause is the dwindling reserves of important oil producing countries who seem adamant and reluctant to concede the fact. This trend will continue for the coming years as we reach the peak oil phenomenon and the continuing, overwhelming Indian and Chinese economic growth.
Tabish
Delhi,India
Posted: October 15, 2007, 14:25
