Byline: Peter J. Cooper
Apr. 2--WILL THE OIL PRICE NOW DEPRESS CAPITAL MARKETS? The danger of a further dive in global stock market prices is now looming large because rising oil prices may trigger a hike in interest rates to cope with inflation.
Oil futures topped $27 this week as the conflict between Israel and Palestine intensified, and traders worried that the invasion by Israel might widen into a regional war. Such fears came on top of renewed concerns about US military action in Iraq sometime this year that would disrupt oil supplies.
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