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Big Oil’s Fat Chemical Profits Signal Inflationary Double Whammy

From bnnbloomberg.ca

Drive down any highway in the world and you’ll see countless reminders that the price of Big Oil’s primary product is rising. What’s less obvious is how the inflationary pressures from transport fuel are being amplified by another part of this sprawling industry -- chemicals. The cost of the building blocks for everything from plastics to paint has surged over the past year. That’s great for companies like Exxon Mobil Corp. and Royal Dutch Shell Plc, whose petrochemical units just earned their biggest profit in years. But it’s unwelcome news for consumers as commodities from copper to lumber are already testing ... (full story)

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  • Category: Fundamental Analysis