Fuel-Price Protests Spread Across Europe

[phantom power]

A clash in Paris between around 200 protesting fishermen and police Wednesday came as Brent crude oil futures for July delivery, the benchmark contract for Europe, jumped more than $1 to hit an all-time high of $129.70, driven by robust demand and reluctance among oil producers to increase output.

European governments are under pressure to cut excise taxes on fuel to provide relief. Rising oil and gas prices already pose an inflation conundrum for central banks and impose higher costs for businesses and commuters that could put economic growth at risk. Now fuel prices risk triggering strikes and roadblocks that could wreak havoc in Europe's largely fragmented transport industry.

http://online.wsj.com/article/SB121140824369312241.html?mod=googlenews_wsj

[hogwyld]

1. Isn't a lot of this cost negated

by the rising disparity of the euro/$?

[phantom power]

2. Oil price in euros is rising less than in dollars, however...

the price of a barrel of oil is increasing, in a currency-independent sense. And, in Europe they're already paying a lot more for fuel, so their price increases may hurt more.

[pscot]

3. TPM

reently linked to an article about fishermen in France and Spain striking over high fuel costs. They were blocking ports and dumping fish in a demand for extensive fuel subsidies. The French was promising a 60% subsidy. So a french fisherman could load 1000 gallons of fuel at Calais, motor across the channel, and sell his fuel for a quick, 60% profit. No effort,no risk, no crew to pay. Nah. They wouldn't do that.

[phantom power]

4. They may try it...

however I assume that France will expect some fish for its subsidized fuel.