Opinion
Markets are focused on crude prices. Javier Blas says the bigger risk is the world running out of fuel oil needed for shipping.
The Biggest Oil Risk Is at the Bottom of the Barrel
In the oil industry, fuel oil is known as the bottom of the barrel. It’s typically cheap, unloved and, crucially, comes from the bottom of a petroleum-distillation tower — the tall piece of refining kit where crude gets heated and cracked into multiple petroleum products. But the Iran war has turned the industry upside down. Fuel oil is now an ultra-expensive commodity — and that’s bad news for the global economy.
