Crude Oil – Possible Scenarios Analysis

Crude Oil, like many other commodities, had a volatile 2008 and 2009. Crude was trading at a record high in mid 2008 and at multi year lows in the first quarter of 2009. Since then, as the global economy stabilized from a free fall, crude oil prices have also risen steadily. This article looks into different possible scenarios that might pan out in the global economy and its possible impact on crude oil prices.

Based on past price movements, one can come to a conclusion that crude oil prices are largely a function of the following: