Managing Director of Senior Country Officer of JP Morgan login T Haryanto Budiman assess the potential for conflicts in the Middle East region as the largest oil producer made unstable world oil prices.
"The price of oil is fraught with uncertainty. On the one hand, the war in Yemen led to a rise in oil prices," he said at the Ritz Carlton SCBD, Jakarta, Tuesday (28/04/2015).
Nevertheless, continued Haryanto, there are other factors that make the world oil prices could potentially return to decline, dikeluarkanya Iran from membership of the Organization of Petroleum Exporting Countries World (OPEC).
"If for example an agreement between the United States (US) with Iran, where Iran removed from the name of the oil exporting countries by America, then Iran can export its oil freely," he continued.
If that happens, go Haryanto, the world oil supply will rise further and oil prices will automatically fall back as before.
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"So there is an increase of supply. In the event of such an agreement, the price of oil will go down again," he said.
According to Haryanto, the decline in oil prices will bring benefits for developed countries like the United States which is the oil exporting countries.
"And for the developed countries, which notabenenya oil importer like the US, they benefit from low oil prices" he explained.
This is because the portion of income of the people in developed countries are usually spent on fuel oil (BBM) can be diverted to other things because of the cheapness of fuel prices.
"Disposable income of the American public will increase. They had to spend money to buy gasoline for transportation and others how. In inflation plasticity because there is no price increase, spend money on logistics fell even lower oil prices that. So this is still a factor very important, "he said. (Dny / ndw)