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Oil prices could fall with Gadhafi overthrow
Posted: Aug 22, 2011 6:28 AM by Kate Richards
Updated: Aug 22, 2011 9:29 AM
NEW YORK (AP) - If the rebel capture of the capital, Tripoli, holds and leader Moammar Gadhafi is overthrown, analysts say oil prices around the world should start falling.
It could be several months before the full effect is felt but it may have already started. Brent crude fell today and the benchmark crude oil price is near $83 a barrel.
Independent analyst Andrew Lipow says oil markets will likely respond today by sending prices lower in a sign of relief. But it will take time for the market to erase the hefty price increase that resulted from the suspension of Libyan oil exports since the rebellion began in February.
Analysts estimate the situation in Libya has increased oil prices by $10 to $20 a barrel.
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