Oil price surge attributed to market speculation, not conflict, say experts

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Experts weigh in on the reasons behind the recent oil price surge, emphasizing market speculation rather than the conflict in Israel.

This is the view of experts during a seminar hosted by the Human Sciences Research Council’s Africa Institute of South Africa to discuss SA’s stance in the war and how it affected South Africa.

“If there is any form of instability in the Middle East, it will have an impact on the oil price,” he said.Croucamp said there was always someone in the industry taking out futures and speculators who rely heavily on any form of instability against oil and currencies.“They will use any form of instability to make a profit. What has had a bigger impact on the price recently was the decline in the demand in America,” he said.

Mapungubwe Institute’s senior researcher Na’eem Jeenah disagreed with the connection between Israel and Palestine conflict concerning South Africa’s history.

 

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