Bear Flags Wave for Petromatrix as Currency Routs Mean $147 Oil

Crude is costing some developing countries almost $150 a barrel in real terms as currencies from the rupee to the rand tumble, signaling global oil demand is poised to weaken, according to Petromatrix GmbH.

Brent prices converted into India’s rupee, South Africa’s rand, Turkey’s lira and Brazil’s real are close to levels reached in mid-2008, when crude climbed to a record, the Zug, Switzerland-based researcher said. The burden is canceling any stimulus for demand in these countries that might have arisen from this year’s slump in the oil price, and represents a “bearish flag” for consumption, Petromatrix estimates.