One of the big oil pipelines in the UK has been shut down by a strike giving oil bulls another reason to predict higher crude prices.
According to Reuters "A pipeline carrying nearly half of Britain’s oil was closed on Sunday as a strike over pensions began at the neighboring Grangemouth refinery in Scotland, operator BP (BP) said.
There is enough concern about military and political trouble in the Gulf region and news that some US refineries will shut for maintenance that oil should go higher this week.
That begs the question of whether the UK government should allow a strike to continue. Oil has long been viewed as a "strategic asset". If so, individual labor unions should be reminded that the interruption of supply is not in the best interests of the UK or its allies.
Bring in the Marines.
Douglas A. McIntyre