Oil prices Jump 6% – Good News for Gold and Silver prices?

Welcome to illuminati silver, we tell you
the truth about silver. Today is Monday 12th December 2016 and we
are commenting on the 6% rise in oil prices after OPEC and other producers reached their
first deal since 2001 to reduce output. On 30th November we produced a video highlighting
that OPEC members agreed to cut back oil production by some 1.2 million barrels a day, (incidentally
the first agreement of its kind since 2008) however were awaiting the outcome of a meeting
with Non-OPEC oil producing countries to see whether it could have a long lasting effect
on oil prices. Well that meeting took place over the weekend
which included Russia, and it was agreed to cut output by a further 558,000 barrels per
day. The production cuts, to take effect from January
2017, are expected to see the global oversupply of oil shift to a shortfall – thereby pushing
prices up. This was endorsed by Analysts at Bernstein who said:
“Once cuts are implemented at the start of 2017, oil markets will shift from surplus
into deficit.” The price of a barrel of Brent crude climbed
close to $58 overnight, its highest level since July 2015, but has fallen back to the
current price of $55.94 still up $1.61 on the day but still remains some 50% lower than
its level in mid-2014. Higher oil prices are likely to feed through
to petrol price increases, ultimately pushing up inflation, especially in those countries
whose currencies have recently devalued, such as the UK and Europe.
This does not bode well for interest rates which may be raised to combat inflation; however
having said that, generally speaking gold and silver prices do tend to rise alongside
oil price rises, so this inter- relationship will be interesting to observe.
At the time of production of this video, gold has risen by $5 to $1163 oz. but silver is
the comparative star rising 1.75% or 29 cents to $17.15.
This is indeed good news for those wishing to see higher gold and silver prices, however
the FED’s decision on Wednesday will have a more dramatic effect short term.
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updates and offers. Our Facebook page which is updated daily can be found at facebook.com/illuminatisilver Disclaimer: Illuminati Silver owners come from a background
of Banking, International Wealth Management and Economics. Having now retired from these
worlds we are not qualified to give investment advice. Therefore, this and other productions
must not be deemed to be giving such advice and merely represent the personal views of
its owners.

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