You would think that falling oil prices would be good for everyone. Cheap fuel is great for consumers, agriculture, transport companies, but there are big issues at steak for the global economy. Powerhouse countries like Russia and Saudi Arabia depend on high oil and the knock on effect of low oil prices affects the global economy.
The infographic below by the Visual Capitalist shows how oil prices effect currency prices.
We are already seeing the impact of falling oil prices:
- Currencies have been devalued
- Stock markets are extremely volatile and bearish
- Huge job losses. 65K North Sea oil jobs may have been lost already.