That’s incredible, as I could have sworn just yesterday every expert knew an Iranian oil embargo would most definitely cause a price spike. Where do these news stations find their elusive “most experts” I wonder?
If you enjoy the content at iBankCoin, please follow us on TwitterDespite the uptick in oil prices thanks to Iran’s threats last week, experts don’t foresee a major oil price spike even as evidence mounts that tougher oil sanctions against the country are beginning to bite.
Crude prices have risen about 2% since Iran vowed to shut down the Strait of Hormuz last week. About a sixth of the world’s oil production passes through the Strait.
It is believed that Iran’s posturing is the result of ever tightening sanctions as Iran spars with the West over its nuclear program. Iran says its nuclear intentions are peaceful, but many experts suspect they are designed to produce weapons.
On Wednesday the noose around Iran’s economy tightened further. Reports said Europe may be close to enacting an outright oil embargo on Iran. About 15% of Iran’s oil exports go to Europe.
The European news comes after President Obama sanctioned Iran’s central bank last month in an attempt to restrict Iran’s oil exports and a similar, stronger move from England.
Experts = the puppet on the other side of the trade who works for the central bankers
i think the spike would only come if the iranians tried to block the straits of hormuz….but there is a 5% chance of that at best