Thanks Hunter. Yes, Iranian oil is high in sulfur for example. Yet to check up on Iraqi oil.
Agree with Alan, oil and energy has only just reached fair value now.
Contributions to the recent increases might also have something to do with the strengthening Chinese currency. The last three jumps, from 104+, 112+ and 125+ seem to link to the breakdown of the JPY/RMB, EUR/RMB correlations to Oil price, and that last tick up to 135 due to the USD/RMB slipping from 7.00 down to 6.95.
Oil price has dropped a notch in the last week, it's dropped even further in RMB as USD/RMB got down to 6.92, but back to 95 now.
Long term, expect RMB to gain alot more purchasing power and will outbargain alot of other nations for goods.
