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Current oil prices not favoured by oil producing nations
Paris, Feb 23: Oil producing countries have no economic interest in maintaining current crude prices, which stand near two-year highs, US treasury secretary John Snow said today after his first G7 meeting in Paris.
Paris, Feb 23: Oil producing countries have no economic interest in maintaining current crude prices, which stand near two-year highs, US treasury secretary John Snow said today after his first G7 meeting in Paris.
"The major oil producing countries have a strong economic self-interest in oil prices that are not at their current... levels" because it makes their market more unstable, Snow told reporters before leaving Paris for Washington.
US federal reserve chairman Alan Greenspan made a full presentation yesterday to group of seven finance ministers and central bank governors on the oil market and the economic impact of current prices, Snow said .
On Friday, New York's reference light sweet crude for April delivery shot up 84 cents to 35.58 dollars a barrel. It had already risen 50 cents before news of a refinery explosion rocked world markets.
In London, the price of reference Brent North Sea crude oil for April delivery had risen 54 cents to 32.10 dollars.
Separately, Snow said that despite comments by Nikos Christodoulakis, head of the Euro group of Euro-zone finance ministers who warned of global economic risks from the large US budget and current account deficits, this subject hardly came up in the G7 meeting itself.
"Were there major discussions of the twin deficits -- I'd say (they were) at most a minor part of the meeting," he said.
Bureau Report
"The major oil producing countries have a strong economic self-interest in oil prices that are not at their current... levels" because it makes their market more unstable, Snow told reporters before leaving Paris for Washington.
US federal reserve chairman Alan Greenspan made a full presentation yesterday to group of seven finance ministers and central bank governors on the oil market and the economic impact of current prices, Snow said .
On Friday, New York's reference light sweet crude for April delivery shot up 84 cents to 35.58 dollars a barrel. It had already risen 50 cents before news of a refinery explosion rocked world markets.
In London, the price of reference Brent North Sea crude oil for April delivery had risen 54 cents to 32.10 dollars.
Separately, Snow said that despite comments by Nikos Christodoulakis, head of the Euro group of Euro-zone finance ministers who warned of global economic risks from the large US budget and current account deficits, this subject hardly came up in the G7 meeting itself.
"Were there major discussions of the twin deficits -- I'd say (they were) at most a minor part of the meeting," he said.
Bureau Report