| Falling crude prices are a boon to Asia, reducing costs for businesses and consumers and giving authorities room to lower interest rates amid slow global economic growth. Yet the world’s largest oil-importing region still could suffer if crude prices fall further, after declining this week to two-year lows in the U.S.
While the decline would reduce Asia’s bill for imports, it also would signal slowing demand from China and Europe, which would risk hurting Asia’s exporters. “Falling crude is a double-edged sword for Asia,” said Frederic Neumann, an economist with HSBC Holdings PLC in Hong Kong. “The worry is it reflects weakening global demand. But it offers a bit of a cushion for many economies in Asia.”..............................................Full Article: Source
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