Yes, well, we know that they\’ve got to write something to fill the papers but this is a very weird justification for yesterday\’s rise in the oil price:
The price of crude oil was catapulted $11.31 to a new all-time high of $139.12 in New York, its biggest one day gain in dollar terms on record, driven by an almost unprecedented rise in US unemployment….
That the world\’s largest economy is faltering is a very odd indeed explanation for a rise in a commodity price.
Recession (for example) in said economy would be expected to reduce the oil price of course.
It is possible to construct stories that justify the rise and the employment figures….that the increased liklihood of recession means that interest rates might be powered again, thus lowering the dollar and thus raising the price of oil in those dollars…..but that\’s not what they said.
What they actually did say seems to me just to be bizarre.
Strangely, The Guardian gets it rather better:
Oil prices leaped to another record high yesterday as Israel warned Iran about its nuclear sites and the dollar slumped on news of the biggest jump in US unemployment for 22 years.