claig/slug/Grimma - the oil market is getting slammed this afternoon. Prices hard down 4 -5% as the IEA issue an emergency press release suggesting oil will be drawn down from strategic reserves of 60 million barrels (30 million from US reserves). US troops being withdrawn from Afghanistan and redeployed. Bilderberg meeting in June down played climate change. Bahrain just been given $20bn by the Gulf cooperation council to stabilise the politcal unrest. All anounced in the last 24 hours.
Key geopolitical issues in Iran, China and US now come to the fore before Xmas. Rifts between religious leaders and President in Iran, political unrest and economic slow down in China and Presidential election in USA.
Peak Oil is a nonsense. Geopolitics are the key issue. USA is still a major hydrocarbon producer and consumer and control major untapped reserves in Alaska, Iraq and Saudi. China has little or no oil of its own but Iran is a major strategic supplier. China has just built an advanced aircraft carrier.
Interesting times.