The head of the Dallas Federal Reserve accuses Saudi Arabia of “engineering oil crisis”

▶ Federal Reserve official accuses Saudi Arabia of “engineering oil crisis” – YouTube

A Federal Reserve official has accused Saudi Arabia of engineering the global oil price crisis to hurt its regional rival Iran.

The head of the Dallas Federal Reserve says Riyadh benefits both economically and politically from the oil price decline. Richard Fisher said Saudi Arabia is able to handle the sharp drop for a much longer period as its reserves are far larger than Iran’s. He predicted that oil prices would NOT return to around one-hundred dollars per barrel any time soon. This, because Riyadh is determined to keep prices low and force shale oil producers out of business.

Crude has lost almost half its value since last June. OPEC’s decision back in November to maintain output unchanged led to a sharper drop in global oil prices, forcing many countries to urge the group to revise its decision.