2023-10-09 15:24:00
Oil extraction (Russia) maxximmm / stock.adobe.com
DECRYPTION – The barrel jumped 5% Monday morning. The market is worried about an impact of the conflict on exports from crude producing countries in the Middle East.
Unsurprisingly, the attacks by the Palestinian Islamist movement Hamas and, in response, Israel’s declaration of war, are shaking up the oil market. Barrel prices jumped by more than 5% in Asia on Monday morning before falling back to above $87 per barrel of Brent at the end of the morning, an increase of more than 3%. The ongoing fighting is aggravating political uncertainty in the Middle East, a key region for the world’s supply of black gold. Israel and the Palestinian territories are not oil producers, but the Middle East region accounts for nearly a third of global supply. And Hamas’s assault on Israel is the sharpest escalation of violence between the two sides in decades.
Markets are therefore trying to measure the impact of tensions in the region on exports. The questions are therefore multiple: will the situation get worse? Will the conflict remain limited to Israel and Palestine or will it extend to countries in the region, in particular Saudi Arabia, the world’s leading exporter of crude oil today?
The impact on global oil supply…
This article is reserved for subscribers. You have 69% left to discover.
Flash Sale €1.99/month for 6 months
Offer available until October 23. Without engagement.
Already subscribed? Log in
#price #oil #skyrocket