Sunday, January 13, 2008

BCA: on The Oil "Tax"


From the Bank Credit Analyst:
The surge in oil prices toward the US$100 threshold adds to growth risks for many of the world’s economies.
and
While strong oil demand--especially in China and the Middle East--is contributing to the surge in crude prices, the rising world oil bill is bearish for global growth. This “tax” on growth adds to pressure for major central banks to ease monetary policy.

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