Metropolis Opinion

Today, oil makes its new record again. Oil runs to $120 per barrel. The main factors behind the new record are USD weak against Euro and Sabotage in Nigeria. If we look back, when governments worried when Oil ran close to $100 per barrel then $108 per barrel, some day before $112 per barrel and $118 per barrel, and hold at $120 per barrel today.
Some week ago, we got good news from Brasilia that they have found the new oil mine. The new oil mine can supply more then 20 percent of OPEC supply. The new made oil price declined to $112 per barrel. Now bad news comes.

Why oil price is too sensitive? When Oil Price was running high and high, the factors didn’t come from the supply, but Stock Exchange did. Investor took profit; Dollar was declined against Euro and some major currencies.
Why Dollar is too sensitive to make Oil Price fluctuating? Why we still use Dollar as Oil Price? Why not Euro or Japan Yen?
The question had been asked to my lecture in university. Why we still use Dollar as the measurement of Oil Price? I said. Actually I didn’t get best answer from him? I read the television; some analysts said that the main factor why we still use USD as Oil Price is because Dollar is transparent and more fluctuating currency if we combined with others.
I wish my confused cleared. If readers know the answer, please tell me.

I know that the oil price run high in recent months. Oil did it because the supply is limited and demand is larger than supply. Conflict in Iraq, enharmonic between Venezuela and America is also the big factor.
But the trend is oil price run high because of external factor, such as the weakness of Dollar against others major currencies.
Investors don’t know that when they take profit, causing dollar is declined, the oil prices run high or they know but close their eyes. Do they think that their activity make governments think twice to rearrange their budget. They don’t think that other need cheap oil price. Poor countries and net exporters’ countries are so hurt by them.