The future behavior of oil prices depends on the euro zone and
Israel
,
according to a report from Chatham House. On the one hand, euro-zone leaders
must act to contain the region's economic crisis, while on the other much
depends on whether
Israel
launches a military strike against
Iran
, it
notes.
This amounts to a confusing set of signals for the market, as it is
"dependent upon the behavior of two groups of politicians who seem to
exude either incompetence or unwarranted aggression, or both, compounded by
indecision," it says.