Some current issues in the world oil market

Abstract

The paper reviews the main trends in the oil market over the past several years. Given that the explosive growth in crude oil prices during 2007 — the first half of 2008 was caused by speculations, the current drop is not a temporary relief in the course of commodities super-cycle and the boom has come to an end. Crude oil prices’ ability to provide sustainable development of the world economy seems to become the main principle of price formation in the foreseeable future.