Oil: energy barometer
Oil, which has always been considered the black gold, is the most traded energy commodity in the world and its prices are influenced by a multitude of factors, including:
- OPEC+: the decisions of the Organisation of the Petroleum Exporting Countries (OPEC) and its allies (OPEC+) regarding production directly influence global supply and thus prices.
- Geopolitics: geopolitical tensions in key regions such as the Middle East can cause supply disruptions and cause prices to spike.
- Global demand: global economic growth and demand for petroleum products, such as petrol and diesel, directly influence prices. So does the expansion of renewable energy.
- Investments: investments in oil exploration and production influence long-term supply.