nick parsons sick of the markets now and world prices are edging back plunging on the international energy agency as well as of. light sweet is up around one. that leads sensationally precisely one dollar seventy eight cents brant is up one dollar nine cents more than one hundred eight dollars per barrel still far to go until they come back soon previous levels asian shares are also positive this after the drop in oil prices japan exporters are among the main advances with tubes up seven percent three percent like however will sector firms of course weaker impacts down around the percent meanwhile on the same same is up more than one point three percent with china again around seven percent. there also the markets will start trading the final session of the week in around two hours time as we all see as an m i six or the half a plunge there on the first day losses were driven by we could create prices obviously looking ahead to the trading session of the luggage because of from b. to b. capital says russian markets are likely to consolidate their current levels the most rational version of

civil war meanwhile some opec members wonderful possible countermeasures to prop up the oil price nick parsons head of research at the national australia bank explains why he thinks i was taking this unusual step. buying these two reasons the first of these relates to the global economy and bear in mind the central banks around the world central banks and governments alike fairly alarmed at the prospect of rising inflation and oil prices are a major contributor a factor here they certainly don't want to drive their economies back into recession as a bike over tightening interest rates in order to deal with inflation so working directly at the root cause of these price increases i think is a very very shrewd move so the first reason is because they're concerned with inflation i think the second reason is also to show the balance of power across the world doesn't lie entirely with opec and i think the opec decision but it was taken not to increase production i think did actually upset many. people around the world so partly it's about power it's also about inflation. second look at the current o

to discuss the oil market i'm joined now by nick parsons head of market strategy at national strategy right thanks for joining us here on our scenic first off was this a surprise to you. it is a surprise in terms of its absolute timing as you mentioned in your introduction it's only the third time it's ever been used the first time was in the first gulf war the second was after katrina and i don't think anyone really expected this certainly if it did not been a surprise the oil market wouldn't have fallen six percent in the course of a little over ninety minutes is afternoon now why do you think the eye is releasing reserves when alice is saying that the market is already well supplied. two reasons the first of these relates to the global economy and bear in mind that central banks around the world central banks and governments alike are fairly alarmed at the prospect of rising inflation and oil prices are a major contributor a factor here they certainly don't want to drive their economies back into recession. by overtightening interest rates in order to deal with inflation so working