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Gold/Mining/Energy : Strictly: Drilling and oil-field services -- Ignore unavailable to you. Want to Upgrade?

To: SliderOnTheBlack who wrote (55735)	12/1/1999 9:58:00 AM
From: Think4Yourself	Read Replies (1) \| Respond to of 95453

From The Economist: economist.com "Even if the impact will be more modest than in the past, dearer oil will still leave some mark. Inflation will be higher and output lower than they would be otherwise. The OECD?s rule of thumb is that a $10 increase, if sustained for a year, would increase the inflation rate in rich economies by about half a percentage point and knock about a quarter-point off growth." So extrapolating their statement, a $40 increase/bbl in oil prices (to $65/bbl) that is sustained for a year will knock about one point off of growth and lead to a fairly modest 2% increase in inflation? Hmmmmmmm.