Thursday , June 1 2023

Oil prices fell to seven months as global supply anxiety eased


Oil, which fell to its lowest level in seven months due to concern, eased US sanctions on Iran to pressure global supplies.

The George Bush administration settled in New York earlier as US sanctions against the three OPEC producers officially began. The Trump administration allowed exemptions for China and seven other major buyers, allowing it to continue purchasing some of its crude oil. On the other hand, the increase in domestic inventories has alleviated concerns over the tightening of global supply.

"The reality of the abandonment will be the amount of oil that remains in the market, but the market will miss," said John Kilduff, a partner at the NYSE hedge fund, again Capital LLC. .

Iran's oil speculation game. And the bears are winning.

While other producers of the Organization of Petroleum Exporting Countries (OPEC) have pledged to offset the supply gap, the US has peaked for the past four years as speculation has been made to lower gasoline prices ahead of midterm elections. Meanwhile, the trade war between the world 's two largest economies has raised concerns that President Donald Trump wants to make an agreement with China, but fuel demand is likely to decline.

Crude oil reserves in the core pipeline hub of Cushing, Oklahoma, were estimated to have increased 2.1 million barrels last week, Bloomberg reported.

On the New York Mercantile Exchange, West Texas Intermediate (WTI) crude for December delivery fell 4 cents to close at $ 63.10 a barrel. The gift fell 6.6 percent last week. Total trading volume on Monday was 10% lower than the 100 day average.

early: Iran sanctions It caused the biggest oil collapse in a few years.

Brent futures for January settlement received 34 cents at 73 cents on the London-based ICE Futures Europe exchange. World benchmark crude oil traded at a WTI premium of $ 9.96 in the same month.

US Secretary of State Mike Pompeo said the waiver could temporarily buy Iranian oil. Iran could change its behavior or see an economic collapse, he said.

© 2018 Bloomberg L.P.

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