Reuters quotes two sources familiar with the matter, as saying that the US is planning to cut Iran’s crude exports by about 20% to below 1 million barrels per day (bpd) from May.
The sources said the US could achieve this by urging the importing countries (including the biggest buyers China and India) to reduce their purchases in an exchange for the US sanctions waivers.
One of the sources said: “The goal right now is to reduce Iranian oil exports to under 1 million barrels per day.”
“Zeroing out could prove difficult” adding a price of around $65 a barrel for international benchmark Brent crude was “the high end of Trump’s crude price comfort zone,” said another source.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.