Malcolm Graham-Wood
Independent Analyst
Another hike in the crude price yesterday and as not much has changed on fundamentals we should assume that the market is adding a modest geopolitical premium in for hostilities in Syria. With Russia and Saudi Arabia on different sides on this one the likelihood of any easing in tensions is low and the possibility of something going horribly wrong one way or another shouldn’t be ruled out. Yesterday it was clear that genuine buying was happening, the bears having closed their shorts some time ago and the Chinese came back from their holidays ready to catch up with world markets. As mentioned earlier in the week I am certainly getting a modest upward shift in sentiment from China which may help, seeing them buying for stock would add to that uplift.
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