Brent crude latest developments - City Index expert commentary

“As Brent hits the psychological level of $80 per barrel traders are questioning whether oil to $100 is a possibility? Fundamentally the price looks well supported here, OPEC are showing they are in no rush to end production cuts, Venezuela’s oil industry is collapsing under its economic and political crisis and US sanctions aimed at Iran’s oil industry are kicking in. Whilst US production is a constraint on the price, right now this is overshadowed by the Iran Venezuela shortfall.

“Could oil go higher? Venezuela’s problems are unlikely to be resolved anytime soon and could be exasperated if the Trump aims sanctions at the troubled country following rigged and unfair elections; also if the US can get China to loosen energy ties with Iran, then regardless of increased US shale production, the price could close in on $100.”

 

CFD and forex trading are leveraged products and can result in losses that exceed your deposits. They may not be suitable for everyone. Ensure you fully understand the risks. From time to time, City Index Limited’s (“we”, “our”) website may contain links to other sites and/or resources provided by third parties. These links and/or resources are provided for your information only and we have no control over the contents of those materials, and in no way endorse their content. Any analysis, opinion, commentary or research-based material on our website is for information and educational purposes only and is not, in any circumstances, intended to be an offer, recommendation or solicitation to buy or sell. You should always seek independent advice as to your suitability to speculate in any related markets and your ability to assume the associated risks, if you are at all unsure. No representation or warranty is made, express or implied, that the materials on our website are complete or accurate. We are not under any obligation to update any such material. As such, we (and/or our associated companies) will not be responsible or liable for any loss or damage incurred by you or any third party arising out of, or in connection with, any use of the information on our website (other than with regards to any duty or liability that we are unable to limit or exclude by law or under the applicable regulatory system) and any such liability is hereby expressly disclaimed

RELATED TOPICS