A report by the CIMB Economic Research Team assesses the impact of high oil prices on Asian economies. We present an abridged version of the report.

OIL prices experienced another strong run-up from late August 2007 to May 2008, with the spot price for West Texas Intermediate barrelling from US$58 per barrel (bbl) on Jan 3, 2007 to US$125.96/bbl on May 9, 2008.

Although prices eased briefly in early February amid worries over a slowdown in global growth, they quickly resumed their upward path and climbed to new highs.

The oil market is expected to remain tight, given the existing demand conditions, short-term supply problems as well as the links between commodity (i.e. between the price for food and oil and the production of biodiesel) and financial markets (such as the weak US dollar and low real interest rates).

Our revised oil price projections put the oil price at US$110/bbl (US$90 previously) in 2008, US$120/bbl in 2009 (US$75 previously) and US$110/bbl in 2010 (US$70 previously). For Petroleum Price Chart

Today, We finally feel different in our life when the price increase 78sen petrol per liter against. At least we know when the price increase our lifestyle will start changing. For Malaysian, who always depend on government subsidy, this could be the first time and also the big hurt that the price will going to hike against and flunction according to the international price.

How our life will change?

Saving become a biggest mindset in major consumer mindset, because they know most of the products in the market will start going up the price. Even, we know after this the electric price will go up. I’m thinking and start observing the consumer mindset and start predict what will happen in the near future. Consumer will start looking for the cheaper products, and find an product in the internet - ecommerce become the next hot things later on. Business owners trying to market their products in a lower, cheaper price with higher profits and customer looking for products and purchase online become a big match with the right time.

I going to discuss how you can set up an ecommerce business online with as low as $6.95 only. So, you going to save thousand of ringgit to ask someone to get your ecommerce store ready.

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