There are currently military hostilities between Russia and the Republic of Georgia.
Why is this important?
There is a major oil pipeline in Georgia that transports "1.2 million barrels a day." There are reports that Russia has attacked the pipeline.
"Azerbaijan, which borders Georgia, announced Saturday it had halted oil exports via the Georgian ports of Batumi and Kulevi due to the fighting between Georgia and Russia."
Bloomberg has the Nymex Crude Future at $116.40 [retrieved Sunday 8/10/08]
If the hostilities reduce the world oil supply the price of oil, which has been steadily falling, may begin to climb upwards as a result of new tensions, hostilities and uncertainties.
Where do you think oil prices will be in a week, month, and 60 days?