The ongoing fall in prices has also been triggered by recent market movements, namely, the decline in oil prices in reaction to their surge to more than 140 dollars per barrel in 2008, as well as the sharp decline in global demand resulting from the financial crisis.
Therefore, in view of the current economic outlook that the recovery will be sluggish, demand – which is well short of supply at present – is unlikely to recover quickly, and the downward pressure on prices will not ease in the short term.