2012-06-30financialsense.com

``When oil supply doesn't rise fast enough, there are two opposite effects that can take place: (1) The most common effect is that prices will go higher. This can be seen in the upward trend in prices in the last eight years. (2) The other effect is that prices can drop quite sharply, as they did in late 2008. This happens when parts of the world are entering recession, and their demand is decreasing.''


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