Anticipation before trade shows marks forthcoming new season
Macroeconomics
Not only activity in the leather sector was reduced but also the general financial markets were in a holiday mood.
The only matter of general interest was the oil price, which was present in the media worldwide. Speculation and general hysterical attitudes, combined with the movements of energy prices, pushed the price of a barrel of oil to almost $50. Fortunately, markets have become more realistic again in the past few days and prices dropped back to the mid forty level. However, we still consider oil prices to be high despite the comments of leading financial institutes that the present price level for oil will not have a negative effect on the global economy. We do not share this opinion and think that an average price of $40 or higher per barrel will definitely have effect on consumption and prices over the next six to 12 months.
