Forex Blog

January 5, 2011

Oil Prices Seen as Threat to Recovery

The International Energy Agency (IEA) issued a warning that high crude oil prices threaten the economic recovery for the upcoming year. According to the IEA’s report, the cost to import oil rose 30 percent in the past year.

“There is definitely a risk of major negative implications for the global economy”, noted an IEA official in an interview with the BBC. “If the oil price goes much higher, it affects everything from the trade balance to household spending.”

Source: BBC News

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