The Independent: Surging oil price forces IMF to tear up growth forecasts
“Yesterday’s spike was triggered by Shell when it said Nigerian oil unions had begun an unexpected two-day strike at its facilities to protest against a reorganisation plan, but the company said output had not been affected.”
By Philip Thornton Economics Correspondent
Posted 9 October 2004
Record oil prices have forced the International Monetary Fund to scrap its forecasts for global economic growth next year, just a week after it published them.
As crude prices struck fresh all-time highs for a third day yesterday, the fund said it was worried about the medium-term outlook. The cost of oil surged on both sides of the Atlantic, breaching $53 a barrel in New York and jumping more than a dollar to a record $49.07 a barrel in London on news that a strike in Nigeria had put exports on hold.