Oil supply panic continues to ferment global inflation fears will intensify

Reporter Yua Ruifang Hu Junsu Zhang Yuan Beijing reported that with the escalation of political unrest in Libya, the key oil producer, and the growing concern about oil supply, the parties have made a statement to reassure the market after the price of crude oil has hit two-year highs.　　But analysts believe the oil market still faces huge uncertainties, with high oil prices weighing on the world economy and exacerbating global inflation. The parties declared that oil prices, after crude oil futures reached 2.5 new highs, were hit by the threat of higher oil prices. Oil futures in Asia also edged higher on 23rd, as tensions in Libya showed no signs of easing.　　To calm market concerns, the parties concerned have declared that the supply of oil will not be interrupted.　　In response to the continuing political turmoil in the Middle East, the IEA will discuss the use of strategic reserves to reduce the risk of oil shortages in the region, the International Energy Agency's executive director Tanaka told reporters 23rd in Beijing. On the same day, Saudi Arabian oil minister Naimi told a news conference in Riyadh that the Organization of Petroleum Exporting Countries (OPEC) would be ready to increase supply to meet market demand if the current political unrest in Libya led to shortages of oil supplies.　　In his view, the current market worries about the situation will not have a long-term impact. Lipsky, the first vice president of the International Monetary Fund, told a Bloomberg interview the world economy is still able to withstand the surge in crude oil prices triggered by political turmoil in the Middle East and North Africa, a wave that will eventually prove temporary, saying the economic outlook is unlikely to be a major shift in the Middle East, he said. When the IMF expects the global economy to grow by 4.4% in 2011, it has assumed that the average oil price in 2011 will reach around $95 a barrel. "The shortage of oil is hard to eliminate local time 22nd, the two big European oil producers with large operations in Libya, Repsol of Spain, and Eni of Italy (ENISPA) halted production, and Eni closed a pipeline for transporting natural gas from Libya through the Mediterranean to Italy," Repsolsa said. According to foreign media reports, including Zawiya, Tripoli, Benghazi, Misurata, including all the ports have been closed. The capacity of up to 550,000 barrels a day is said to be closed, about one-third of Libya's normal daily output.　　At the same time, some Libyan tribes have threatened to stop the oil output in their areas of control. Libya, OPEC's 10th-largest exporter of crude oil, has proven reserves of 44 billion barrels, accounting for more than 3% of the world's total.　　Financial markets worry that the unrest in Libya could spread further in the Middle East, which holds 57% of the world's oil reserves and 30% of global oil production. While Libya's oil supply disruptions could be filled by other oil supplies, the market is concerned that the situation may be widening. Beijing oil Exchange related analysts to the economic reference newspaper reporter said that the future trend of crude oil there are too manyUncertainty, "whether the situation in the Middle East will spread and how much of the impact of oil production will be unknown." If Libya stops oil exports, OPEC still has room to make up, but if unrest spreads to other parts of the Middle East, the current remaining capacity may not be compensated. "Global inflation is feared to intensify analysts say the rise in oil prices is showing signs of momentum in the global economic recovery.　　The situation in Libya is likely to cause havoc in the energy markets, which in turn will have a greater impact on the economic recovery and push up global inflationary pressures, which is why markets are panicking. Fatihbirol, chief economist at the IEA, said international oil prices had risen to a dangerous level, and if the unrest in the Middle East persisted, oil prices would continue to rise, and high oil prices would pose a big threat to the world economic recovery, particularly to the economically fragile OECD member countries (OECD).　　He said that once the WTI crude oil futures price reached 100 U.S. dollars/barrel, Japan will spend every year gdp3% for crude oil imports. ' If oil stays above $100 a barrel, it could put a heavy burden on the global economy, ' said Tanaka, executive president of the International Energy Agency, in Friday.　　With current oil prices, global spending on oil could reduce GDP by 5% or reduce the overall value of all goods and services globally.　　The rise in energy prices driven by supply shocks will not benefit growth-sensitive non-oil commodity exporters, as well as the currencies of economies with large current account deficits, says Steven Ingland of Citigroup. The Wall Street Journal analysis said high oil prices also cast a pall over corporate earnings.　　All sectors of the S & P 500 index fell as of 22nd, with all but 31 stocks rising or flat off. Hua Chuang Securities analyst Zhangxueichang told the economic reference newspaper that the surge in demand for crude oil has been fuelled by a strong recovery in demand in the US, which will strongly support the rise in crude oil prices in 2011, while political instability in Africa and the Middle East threatens to exacerbate sharp swings in crude prices, the lifeblood of industrial society,　　The rise in crude oil prices will further push up the inflation trend. The impact of the oil price boom on China Zhangxueichang that China's foreign dependence on crude oil is higher, in 2009 China's crude oil consumption of about 380 million tons, imports of about 200 million tons, accounting for about 54% of total consumption, in 2010, China's crude oil imports from the east and Africa accounted for 81% of the total import volume.　　The political turmoil in both places poses a serious threat to China's energy supply stability and will exacerbate inflationary pressures in China if things continue to expand. Boqiang, a professor of China Energy and Economic Research at Xiamen University, told the economic reference newspaper that "the rise in oil prices has a great impact on China's macroeconomic operation, and this kind of cost-driven inflation has brought a lot of pressure to our country's inflation situation and has not had much impact on oil security in the short term. According to the Beijing Petroleum Exchange Analysis Division, the current trading situation of the exchange is basically stablewill be less affected by international oil prices. "The current rise in international crude oil prices is bound to affect our country, but the impact is limited," he said. At present, our country's crude oil reserve is established continuously, the established crude oil reserve has been put into use, and at the end of last year, the Sino-Russian oil and gas pipeline has entered the trial operation stage, the annual crude oil transportation to China is about 15 million tons, which greatly enhances our country's oil security. ”