Energy

Stronger oil prices should be hurting Asia given its high level of imports but according to DBS it is demand growth through the region that is allowing growth to remain strong.

The Dow shot out of the blocks on the retail sales figure, but closed only 57 points higher as the oil price weighed in.

AMP’s Dr Shane Oliver expects oil will hit US$200 per barrel in coming years while suggesting stronger oil prices increase the risk of recession both in Australia and globally.

ANZ Bank suggests signs the US dollar is bottoming implies commodity prices may trend lower in the short and medium-term. Any falls are believed unlikely to be significant.

Weekly musings from your editor. Oil priced at US$130 per barrel is not good news. Ignore this message at your own peril.

The Dow finished as good as unchanged as inflation talk took the US dollar up, oil down some more and gold down a lot.

The Dow managed to recover 70 points as oil fell back US$4, but the broader indices were not as positive.

On Friday night oil jumped by more than US$10 and the Dow fell 400 points.

Oil jumped over US$5 last night and some supposedly strong economic data sent the Dow up over 200.

An explosion at the Varanus Island gas project in WA may impact on earnings for companies such as Iluka, Minara and Tap Oil, but the extent of any impact is currently unknown.