The slump in the oil price creates winners, but investors can't forget the downside either

The slump in the oil price creates winners, but investors can't forget the downside either. There are positives from the recent fall in the price of oil: the most obvious, as motorists would note, is cheaper fuel which lowers our cost of living. Cheaper oil also benefits manufacturers. But the total impact of falling oil, like the causes, is a complicated picture, and includes several negatives that investors need to be aware of. The biggest worry from falling oil prices is deflation (falling prices) in Europe. The last thing Europe needs is deflation. Another risk of sustained lower oil prices is geopolitical instability in the Middle East and Russia. On a country-by-country basis the list of winners and losers is also complicated and mixed. (VIEW LINK)