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Oil Price Would Skyrocket if Iran Closed the Strait of Hormuz
Keywords:
Oil prices in 2012 expected to be above $100 with higher social spending by Arab countries and threats by Iran
04/19/2011
Forecasts in Dec. 2011 show oil prices remaining above $100 a barrel in 2012. The threat of Iranian retaliation for increased sanctions in the Straits of Hormuz have embedded a $10-$20 premium in oil prices say some experts. Saudia Arabia and other oil states have increased social spending after the democracy protests in the Arab world, and would like to see higher prices to support this spending.
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