Cheaper oil could be big plus for global economy

ONE of the most striking economic trends of the last three months - together with volatile stock markets - has been the sharp decline in oil prices. What has caused this phenomenon, what are its likely repercussions and, if it continues, who will be the big winners and losers?

The decline has been precipitous. Spot Brent crude is trading at around US$85 a barrel, about 25 per cent lower than as recently as mid-June. In trying to determine what caused this, one could point to the renewed economic slowdown in the eurozone whe…