Mideast and oil

Over the weekend Israel prepared a ground offensive of the Gaza strip. Oil prices are moving up as a result of these actions (see intraday chart below).  The price move reflects a worry about escalation of war spreading to oil producing countries.  If a cease fire is announced, oil prices start to fall back again. If a compromise cannot be found in the short-term, the cost of goods and services will increase. We hope that a peaceful solution can be found, but if this situation persists, oil stays up and net earnings will be negatively impacted.

Have a Happy Thanksgiving!


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: