A spike in oil prices as a result of escalating Middle East tensions would not immediately affect Australia – but precautionary measures should be taken.
The Israel-Hamas war has had little effect on the price of oil so far because neither Israel nor the Gaza Strip produces much oil. If oil exporters got involved, things might change.
Rising inflation rates due to supply-side factors – COVID-19, Ukraine and supply chain shortages – make countering inflation difficult for the central bank.
Price shocks are a feature of the global oil market, not a bug – and even when governments take many steps to grow supply or reduce demand, it can be years before prices ease.
The glaring failure by authorities to secure an area notorious for attacks on trucks prompts questions about, at best, utter ineptitude, or at worst, complicity.
COVID-19 is a huge challenge for the whole world, and Canadian oil producers, already suffering from long-term market trends, will be particularly badly hit.
Has the world entered an era of ultra-low prices? An energy scholar argues that a long period of low oil prices will set the U.S. – and globe – back on the economy and the environment.