Turkey Tensions Support Crude Oil

Turkey tensions support crude oil prices and lift prices to record levels as oil traders fear that Turkish incursion into Kurdish northern Iraq could interfere with oil produced in the region.

Tensions between Turkey and the United States have recently escalated over a bill passed by a US congressional committee that would label the deaths of a reported 1,500,000 Armenians in Turkey during the WW 1 period as a genocide.

Turkey has warned the US that the passing of the bill in committee has already seriously damaged US - Turkey relations, and that should the full congress pass the bill Turkey may close to the US Turkish facilities being used to supply US forces in Iraq.

Turkey has also stated that with the passage of the bill that Turkey will feel less restrained by US concerns about it launching military operations inside of Iraq to strike against PKK forces using Iraq as a base from which to launch raids against Turkey.

Should the Armenian genocide bill be passed a new complication will very likely face the US and its forces in Iraq. With the demand for oil showing no signs of abating any interruption in supplies from Iraq or elsewhere will continue to push crude oil prices higher.

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