Real face of Oil price hike

The most crucial issue across the globe is ‘Oil price hike’, which has negative impacts on most of the countries’ economy. It is the causative agent for inflation by reducing GDP and Share values. Recently, reduction in oil production of Saudi Arabia and excessive increase in oil imports by China lead to hike in oil price. This in turn affected Indian economy manifested by steep fall of 425 points in Sensex on the same day. Oil prices remain high despite OPEC producing more than it is being asked for. Therefore, oil price hike is not just a matter of supply, demand and dollars. This complicated issue should be studied by comparing the present scenario with past data, thereby forecasting the same. Oil price hike can be reduced by employing certain strategies and they can be dealt in detail under the topic ‘Oil price hike – The Devil’.