Global oil prices will probably slide below the $100 a barrel level as Saudi Arabia, the OPEC member and world's largest oil exporter, releases more supply into the market, according to a note published by Credit Suisse. Brent crude for April delivery closed at $115.77 a barrel today.
Credit Suisse said higher oil prices are ''manageable,''but added any rally driving Brent crude 100% higher year-on-year to between $140 and $155 a barrel may be a ''trigger point'' that has historically led to equities ''correcting'' by 34%, Bloomberg News reported, citing the note, which was published today.
Picking out the winners and losers under the scenario of $140-$155 oil is not difficult. Major oil importers in the emerging markets such as India, Thailand, the Philippines, Czech Republic and Poland are among the potential losers, Bloomberg reported, citing Credit Suisse.
On the other hand, major oil exporters such as Australia, Canada, Colombia, Russia and Norway would be winners if oil continues its climb higher.