According to John Tamny of RealClearMarkets, the price of oil has not fallen much in relation to how the dollar has strengthened in recent days. Proof of that is the relationship between gold and oil.
"The point here is that gold's price is just a proxy for the dollar; gold rises when the dollar weakens," Tamny adds. "What that's telling us is that oil has not become expensive. We don't have a supply problem. We don't have problems in Libya or too many Chinese demanding oil. What we have is that the dollar has been cheapened. Hence, oil is expensive."
These comments were made recently on American Family Radio's Nothing But Truth program.