Is anybody concerned about the conflict in Iraq disrupting world markets?

Discussion in 'General Trading Discussion' started by Allison2021, Jun 22, 2014.

  1. DeGrincH

    DeGrincH Member

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    When the leaders of ISIS realize that the reality is even if they were to take over the land, some other group would just form in disapproval of their crappy violent leadership, and thus a new terrosit group will arise. The world is full of violent wanna be dictators. Hitler obviously taught a majority of the world: Nothing.
     
  2. hnatalieann

    hnatalieann Guest

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    I too am concerned as it takes a big chunk of our money as taxpayers. They increase taxes, and we have to hear how our country is in debt and wasting money like crazy on wars. It's getting harder and harder to make a good living for yourself anymore.
     
  3. Dola1991

    Dola1991 Member

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    A wise man once said, "An injustice anywhere is an injustice everywhere." With that being said, conflicts in oil rich regions such as Iraq have a significant impact in the global marketplace. I feel as though the disruption is evident just by looking at oil prices within the last 10 years. No one should be paying as much as we pay for oil.
     
  4. JR Ewing

    JR Ewing Super Moderator Staff Member

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    The price we pay for crude is mainly a function of OPEC price fixing, as well as speculation and weakness of the dollar to lesser degrees.

    For prices at the pump, you can add US political factors - taxes, environmentalist zealots shutting down and preventing drilling / fracking from time to time, and politicians literally extorting domestic oil companies.
     
  5. allswl

    allswl Member

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    Whenever there is a war in an area where key resource to world economy, markets worldwide will react and in a negative way. Sadly the bulk of the world's oil is found in many countries that are unstable politically. The rest of the world must put pressure to bear to get these wars to cease.
     
  6. Rainman

    Rainman Senior Investor

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    At the present I'd say the conflict in the Middle East, if it has led to an increase in the prices of oil then quite obviously that will directly affect the profit margins of companies and what investors make at the end on their shares. So, yeah, the mid east conflicts may actually have a positive effect on the stock market because companies generally respond by increasing the prices of products the shareholders in those companies make more money in the end.
     
  7. BabyBear

    BabyBear Active Member

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    Significantly higher oil prices due to conflict in the Middle East absolutely would not have a positive effect on the stock market. A supply shock like that is extremely bad for the economy. A few companies might profit in the short term, but overall economic growth would slow or even turn negative because input costs for so many goods would increase.

     
  8. Wise_Turtle

    Wise_Turtle Guest

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    The situation in Libya is worsening which will only put increasing pressure on the world markets as Libya struggles to rebuild production back to levels prior to the 2011 conflict. With the IS in Iraq consolidating their holdings and the situation in Libya growing more chaotic as well as further tensions with Russia threatening to destabilize energy exports the price of oil could see an increase. This could boost the stocks of XOM or other western producers as most of their production comes from outside of these countries, but the effect it will have on the markets overall will be mostly negative.
     
  9. Casper

    Casper Well-Known Member

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    But where are these 'high oil prices'? How bad does it have to get out there before we see these high oil prices, (apart from a knee jerk blip when the media was screaming that ISIS was about to enter New York unless we bomb the hell out of Iraq again).

    Washington won't even deliver the arms that Malaki ordered ages ago. They have now gone to Russia nad ordered billions of $ worth of arms.

    No, Washington new about ISIS a year ago and was happy to train and fund them. There is more to this than meets the eye. Washington wants Iraq split in three and warring with each other in a never ending battle. They did it with Iran by pitting Iraq against them for years. It is called 'containment'. I call it murder.

    Libya is in chaos because of the U.S meddling and that's fine with Washington because they thrive on it. The more warmongering and bloodbath the better.
     
    Last edited: Aug 7, 2014
  10. springbreeze

    springbreeze Well-Known Member

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    Any war disrupts the market. But I'm not as worried about Iraq as I am about Russia's sanctions (going both ways). We've been in war-like situations with Iraq several times already. So, you can kind of predict how it will disrupt the market.

    When it comes to Iraq, I'm more worried about America entering another war and the needless loss of life. Now, when it comes to businesses, many Anerican (big) businesses profit off of war. It's the small businesses and average people that don't.
     

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