Energy & Resource: In high demandJune 04, 2008
There seems to be no stopping the high flying oil priceas it leaps above $130, a price that seemed unlikely just lastDecember. The growth in oil demand will continue to be driven by Chinaand Asia, in spite of the U.S. economic slowdown.
In fact, according to the International Energy Agency,China, India, Russia and the Middle East will consume more crude thanthe U.S., for the first time. Oil use worldwide will increase 2% thisyear because of the emerging markets. So with demand as robust as itis, any possible supply disruption will simply push oil up further.
This has already been happening, for instance, with theongoing supply threats in Nigeria, Africa's biggest oil producer. Andit's been another main factor keeping upward pressure on the oil priceover the past few months.