Higher price, lower demand, wtf are you talking about?It's lower...

Higher price, lower demand, wtf are you talking about?

It's lower supply or higher demand, higher prices.

Oil has a low elasticity of demand, meaning that the demand for oil doesn't change significantly when the price for it changes, given how dependent the global economy is on it. The supply of oil is also fairly inelastic given how complex and costly the process is to initially set up oil extraction.

Unlike some metals, you can't just replace oil with another commodity.

The oil prices were rising well before the Russians invaded Ukraine. These supply problems are structural because of ESG.