Vanity Kills

What a run oil had last week. Somebody sneezed at Goldman Sachs and blew it all up. Led by Moses, big money soon started chasing oil and experts are at it once again explaining price dynamics - high demand, low supply, weakening dollar blah blah...

President Bush has blamed China and India for letting loose the tiger in woods. During the last few years demand from these countries has risen in linear progression despite crude oil prices getting locked in a geometric progression. The demand for black gold from these two countries is not expected to get into lower or reverse gear any time this year. Both countries are committed onto front foot for the mega events later this year viz the Olympics in China and the general elections in India. Oil salvo would probably test the limits to which these countries may rise (on their toes) before finally ducking. Till that time these countries would pay a hefty toll for their vanity.

Vanity kills, it kills.