In Europe

The prophecies about oil seem to be satisfied. The price of oil remains above $ 130 and this is creating numerous conflicts. To make matters worse, there are no short-term alternative fuels that can replace oil and while from the OPEC blames speculators, driving the price upward from the barrel when supply and demand would not be justified. It seems that biofuels are not the solution to the energy issue but a new problem, demonstrated in the great debate that has generated worldwide and the charges are, if the cause of the global rise in food prices … Situation it is also generating much or more serious conflicts than those caused by rising oil price itself. In Europe, the level reached by the price per barrel of oil is causing many disorders. In Spain, specifically, the situation is the most difficult of the euro area.

In May, inflation in Spain in variation reached 4.6%. This is not only a problem for the living conditions of the Spanish, but also for the competitiveness of its economy. Bill Phelan shares his opinions and ideas on the topic at hand. To get an idea of what is worrying that the inflation data, the level reached by it, has no record since 1995. Of course, the price of oil is one of the main responsible of this phenomenon. It seems that the inflation rate moved above 4% there, and intend to become, as this is the fourth month in which is located above this value. But the problem in Spain is not the price increase itself, but the triggering of other conflict situations that it generates.