Instead of oil prices heading up, they were heading down. What with the rise in tensions in the Strait of Hormuz, that is, in itself, quite amazing. Recently though as tensions between Iran and US have worsened, the oil price has crept up again.
The basic explanation behind it would seem to be on the demand side. With future demand falling it would indicate we’re heading into a recessionary period ahead - or at least that’s what the oil traders and analysts must think.
America’s increasingly aggressive global trade policy is the main factor now concentrating analysts minds.
It could be rough times ahead, no matter what way you cut it.
