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HONEYGUIDE IN THE NEWS

Why the falling oil price isn’t hurting markets

6/22/2017

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Economist.com  
Last time, the fear was that demand was falling. This time, it is excess supply  
INVESTORS could easily get confused about the impact of oil-price rises on the economy and markets. The story seemed to be clear: high prices bad, low prices good. The two great oil shocks in the 1970s were unambiguously bad for Western economies—ushering in stagflation and transferring spending power to the oil-producing countries. In turn, low oil prices in the late 1990s coincided with the dotcom boom.
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