I've tried researching but couldn't find anythin =/According to OPEC, why have oil prices risen so drastically recently? HELP?
I don't think it's a good idea to believe everything OPEC says about oil prices. Because OPEC isn't exactly an impartial observer in this matter.
The most likely reason for the recent rise of oil prices is the fall of the US dollar relative to other major currencies. Oil is priced and sold in US dollars. Which means that when the US dollar goes down. Then oil becomes cheaper to buy for many countries outside of USA. And this increases their demand for oil.According to OPEC, why have oil prices risen so drastically recently? HELP?
They have cut the supply, unrest in the middle east, and oil speculators in the commodity markets. However, OPEC will always blame the speculators to save face. After all, you would not think the producing OPEC countries would try to price gouge, would you?
there is a slight increase in the global demand for oil Aside from that optimism in the current crisis has made speculators invest in Oil that is why it is inching up in price.
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