Tuesday, March 1, 2016

War can cause oil prices to rocket up

The world is on the verge of war on any given day, but it may not happen for several years. 

Well, if there’s war, then certainly there will be a sudden supply side price shock. But as for the supply side otherwise, I don’t think it’s going to be sudden. It takes a while for these things to adjust. Yes, a lot of frackers are going bust in the United States, but it takes a while for people to realize, and for that to work its way through. And even if the frackers go broke, you do apparently have more Iranian oil coming on stream. So this doesn’t happen over night.

Jim Rogers

Warren Buffett

Nouriel Roubini