Global oil prices have more than doubled from around 30 dollars in 2003
Global oil prices have more than doubled from around 30 dollars in 2003, and analysts say the forces pushing up prices show no signs of easing, with 100-dollar-a-barrel oil a possibility in 2008, AFP reported.
Oil prices have been hovering around 80 dollars a barrel in recent weeks after hitting all-time highs in New York and London. Tight supplies, geopolitical worries, storms, and strong global economic growth have all contributed to high prices.
""The two arguments against 100-dollar oil, the ability of technology to raise new supply and the ability of prices to limit demand, are falling quickly by the wayside,"" said Jeffrey Rubin, an economist at CIBC World Markets.
Some analysts are surprised that prices keep going up despite the conventional wisdom that high prices will curb demand.
But Rubin said strong growth in China and other developing nations has taken up any slack in demand from the wealthier nations.