Brace for $200 Oil If Unrest Hits Saudi Arabia
Commentary: Riyadh pulls the strings on global markets’ next act
MARKET WATCH: SEATTLE — Strong markets are supposed to rise along a wall of worry. This one was rising very nicely amid plenty of worries until investors caught a whiff of the idea that Saudi Arabia could fall victim to the unrest enveloping the Middle East.

So now stocks are slipping and crawling. It’s all about the optics. If you can see a problem, then you can ignore it. But if you aren’t sure what you see, paralysis ensues.

Any real threat that the Fahd monarchy and Sunni hegemony in Saudi Arabia could possibly come under attack would spark more than a worry. It would be thunder, lightning, a hurricane, a tornado, a tidal wave and earthquake all rolled up in one sand-colored bombshell.

No one really cares about Libya, after all. The two sides there can blast each other to kingdom come for all that most investors in London, Paris, Frankfurt and Wall Street care. Sure, there’s a decent amount of oil at stake at Bayda, Benghazi & Beyond, but concerns about the region begin and end at Saudi borders. >>> Jon Markman, MarketWatch | Thursday, March 10, 2011

Higher Oil Keeps Wall St. On Edge
Mar 7 - Summary of business headlines: U.S. crude rallies above $105 as violence in Libya continues; U.S. consumer credit up in January but consumers show sign of restraint; Stocks fall in U.S. and Europe. Conway G. Gittens reports

Libya Hopes Oil Does Not Become Weapon
REUTERS: Libya hopes tensions with Western countries over a popular revolt in the country do not reach the stage where the Tripoli government considers oil as a political weapon, a top oil official said on Wednesday.

Shokri Ghanem, chairman of Libya's National Oil Corporation, also told Reuters in an interview that Libya's troubles had created the country's worst energy crisis in decades and Libyan supply disruptions to world markets could push oil above $130 a barrel in the next month if troubles persist.

Oil markets will be watching closely to see if the departure of oil workers fearful of violence in Libya will further cut output in the world's 12th largest exporter. >>> Reporting by Michael Georgy; editing by Keiron Henderson | Tripoli | Wednesday, March 02, 2011

If the Saudis Revolt, the World’s In Trouble
THE DAILY TELEGRAPH: The fate of the global recovery rests on events in Riyadh, says Jeremy Warner.

Be careful what you wish for. After an ambiguous start, Western leaders have broadly welcomed the wave of protest and revolutions sweeping North Africa and parts of the Middle East. But beneath the words of encouragement about people taking charge of their own destiny, there is a growing and vital concern – the security of our oil and gas supplies.

The West’s complicity in supporting the autocratic regimes that characterise many of the big oil-exporting nations is in part explained by the fact that, whatever their sins, they did at least seem to provide stability in the energy markets. That stability, however, has been thrown up in the air by the wave of protest sweeping the region.

Initially, it was assumed that there was a difference between oil-poor Arab nations such as Tunisia and Egypt, where the uprisings have been as much about living standards as anything else, and the much richer Gulf states. That theory was swiftly proved wrong.

In Saudi Arabia, even King Abdullah’s panicky decision to order another multi-billion-dollar splurge of spending on education, healthcare and infrastructure may not be enough to buy off the opposition. People seem to want something more precious than money: freedom. >>> Jeremy Warner | Thursday, February 24, 2011

Related >>>

Wall Street Dives as Oil Hits $100
Feb 23 - Summary of business headlines: Stocks fall for second day as U.S. crude touches $100 a barrel; U.S. home prices continue to fall; Apple expected to unveil new iPad, competitors line up. Conway Gittens reports

Libya Unrest Raises Oil Concerns
This is the first time that the changes sweeping the Arab world have hit a major oil producer and there are now fears that the spike in oil prices could hurt the fragile global economy. While Libya only produces two per cent of world oil production, 85 per cent of that is sent to Europe. Al Jazeera's Nick Spicer reports from Berlin

Libya Turmoil Hits Oil, Restrains Equities
REUTERS: Oil prices charged to a fresh 2-1/2 year high on Monday as traders eyed increasing violence in major producer Libya, feeding fears about rising inflation and restraining gains in equities.

Global stocks were slightly higher with emerging markets down and European shares flat. U.S. markets were closed for a national holiday.

Protests broke out in the Libyan capital Tripoli for the first time following days of unrest in the city of Benghazi and some army units defected to the opposition in what has become one of the bloodiest revolts to convulse the Arab world.

Financial markets are particularly sensitive to the violence in Libya because it exports around 1.1 million barrels per day of crude.

Brent oil was up $1.90 a barrel at $104.44 having earlier risen to a new high of $104.60. >>> Jeremy Gaunt, European Investment Correspondent, London | Monday, February 21, 2011

REUTERS: Swiss franc, Treasuries gain on Mideast tensions: The safe-haven Swiss franc and U.S. government bonds rallied on Thursday, while crude oil prices rose as unrest in the Middle East and tensions between Israel and Iran escalated. >>> Wanfeng Zhou, New York | Thursday, February 17, 2011