2023-10-30 20:05:00
Closing price: Oil prices fell on Monday, while a regional conflagration has for the moment been avoided in the Middle East despite fighting inside the Gaza Strip.The barrel of Brent BRENT Brent, or North Sea crude, is a variation of crude oil serving as a benchmark in Europe, listed on the InterContinentalExchange (ICE), a stock exchange specializing in energy trading. It became the first international standard for setting oil prices. from the North Sea for delivery in December fell 3.34% to 87.45 dollars.
Its American equivalent, the barrel of West Texas Intermediate (WTI WTI West Texas Intermediate (WTI), also called Texas Light Sweet, is a variation of crude oil that serves as a standard in setting the price of crude and as a raw material for oil futures contracts with the Nymex (New York Mercantile Exchange). ), the stock exchange specializing in energy.) for delivery the same month, lost 3.77% to 82.31 dollars.
Oil prices are “under pressure (…) despite the intensification of the war between Israel and Hamas”, commented James Harte, analyst at Tickmill.
???????? Violent ground fighting took place on Monday, inside the Gaza Strip, between Hamas fighters and the Israeli army, on the 24th day of the conflict triggered by the bloody attack by the Palestinian Islamist movement in Israel on the 7th. october.
But “for the moment, the markets seem to be looking beyond this information and believe that the conflict should remain contained”, says Mr. Harte.
“Israel has managed to be present in Gaza without carrying out a total invasion” and “despite isolated incidents”, we are not witnessing “massive missile attacks from Hezbollah towards Israel”, judged Robert Yawger of Mizuho USA.
“As long as the United States, Iran or Saudi Arabia are not drawn into this conflict, brokers are ready to reduce the war risk premium” on oil prices, the analyst added.
The World Bank assessed in a report Monday that a worst-case scenario -the case where the conflict in the Middle East widens and continues over time- would lead the barrel of oil to reach between 140 and 157 dollars.
???????? For John Evans, of PVM Energy, investors’ attention this week should also be focused on “what is happening in the broader macroeconomic context, in a period rich in data”, in particular the monetary policy decision of the American Federal Reserve (Fed) expected on Wednesday.
The Fed is expected to once once more maintain rates at their current level.
But we will have to pay attention to the press release from the Monetary Committee of the central bank as well as the press conference of its president Jerome Powell to check if there are no elements “likely to destroy demand” for energy, added Robert Yawger.
If the Fed suggests that another rate hike may be looming in the first quarter, it might discourage travel and spending by consumers and businesses alike, leading to a drop in demand for black gold.
(c) AFP
Comment Oil declines, despite the conflict in the Middle East
Community barrel price
1698721389
#Oil #declines #conflict #Middle #East