The U.S. is concerned more and more of a risk of strong and sustained rise in the price of black gold, or even a real oil shock, despite the reassurances made by the authorities. An officer of the Federal Reserve, the U.S. central bank, said, Thursday, March 3, such a risk was foreseeable, because of soaring oil prices caused by the popular uprisings in the Middle East and North Africa .
"If we are to realistically assess the chances that the economy (U.S.) has continued to grow, we must take into account the risk (...) a sustained oil shock," he said. Dennis Lockhart, speaking in Florida, said he still thought to be "pleasantly surprised" by the future performance of the world's largest economy.
However, it is now "a little more cautious" than it was a few weeks earlier. He said "the economy could grow at a rate faster than the moderate pace that" it provides, but "the new world did move the needle of the balance of risks". The Fed chairman, Ben Bernanke, had also said Tuesday that any "sustained rise" in oil prices could threaten the U.S.
economy at a time when his recovery is still not "really established." Trying to be reassuring, Mr. Bernanke nevertheless concluded that "most likely" was that "the recent rise in commodity prices causes at worst a slight and temporary acceleration of inflation for consumers." The U.S. treasury secretary, Timothy Geithner, wanted to show himself reassuring, Thursday, noting that oil producers had room "considerable" to ensure a normal supply to the market.
"The events in the Middle East raise fears of disruption of oil supply [...], but it is important to note that there are capacities significant spare oil production across the planet" , Geithner said before the Foreign Affairs Committee U.S. Senate. In addition, the United States "and other major economies have large strategic reserves of oil," said the minister.
"If necessary, these reserves could be mobilized to mitigate the effects of a severe and prolonged disruption of supply," he added. 
"If we are to realistically assess the chances that the economy (U.S.) has continued to grow, we must take into account the risk (...) a sustained oil shock," he said. Dennis Lockhart, speaking in Florida, said he still thought to be "pleasantly surprised" by the future performance of the world's largest economy.
However, it is now "a little more cautious" than it was a few weeks earlier. He said "the economy could grow at a rate faster than the moderate pace that" it provides, but "the new world did move the needle of the balance of risks". The Fed chairman, Ben Bernanke, had also said Tuesday that any "sustained rise" in oil prices could threaten the U.S.
economy at a time when his recovery is still not "really established." Trying to be reassuring, Mr. Bernanke nevertheless concluded that "most likely" was that "the recent rise in commodity prices causes at worst a slight and temporary acceleration of inflation for consumers." The U.S. treasury secretary, Timothy Geithner, wanted to show himself reassuring, Thursday, noting that oil producers had room "considerable" to ensure a normal supply to the market.
"The events in the Middle East raise fears of disruption of oil supply [...], but it is important to note that there are capacities significant spare oil production across the planet" , Geithner said before the Foreign Affairs Committee U.S. Senate. In addition, the United States "and other major economies have large strategic reserves of oil," said the minister.
"If necessary, these reserves could be mobilized to mitigate the effects of a severe and prolonged disruption of supply," he added.
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