Drop in oil price, good for global economy in the long run

The U.S is very successful with this strategy of bringing down oil price from $110 to about $70 a barrel.

The US dollar strengthened with the halting of quantitative easing, and with the shale gas bloom, they started flooding the market with more crude oil.

The oversupply of the crude market caused the oil price to drop and at the same time dealing a huge blow to countries like Russia, Iran, ISIS. They export oil for profit and ISIS used the money to fund to expand its war chest and expanding its global terrorism threats.

Russia had been aggressive on the Crimea war against Ukraine, which were globally criticized. The MH17 incident made the situation worst.

Iran's issue about nuclear energy is clearly not in their favor with the dropping of oil prices. The low profitability issue may reduce their negotiating power on the table.

However, with the weakening of currencies in countries like Japan, Malaysia, EU, Australia. Global economies is set to pick up even faster with more exports as US is starting to exercise its strong USD.

In general, the economy is slowing down because of certain political factors, but in the long run is set to enjoy higher growth in 2015 and 2016.