Brent ICE at $120 plus and WTI at $105 or so are absurd levels, bound to slow down economic activities everywhere. A lot of airlines are in problems because of the high oil price, and a lot of farmers are returning to labour-intensive methods for cultivation and irrigation. Hard work and painful, but it is the only alternative. The oil price is just too high. It is making people work harder to stand still, and that just cannot be right, can it?
As there is a 'war premium' of 15 percent included in the oil price, it is best to defuse the tension in the Strait of Hormuz and on this whole issue. As diplomacy is the avenue they will resort to, let us just hope and pray and be patient.
The strategic oil reserves are said to be for 90 days, and maybe some of this should be periodically drawn to bring the oil price down.
Hopefully the OPEC Secretariat in Vienna is doing something to issue rebates to countries below a certain GDP ?
A magnanimous co-operation on these issues would help restore the worldwide economic Recovery, for which I pray.