With tensions escalating in the Middle East, “oil prices rose by 0.83% in trading on Monday.”
According to data from Bloomberg, “US West Texas Intermediate crude futures rose to $75.45 per barrel, while global Brent crude futures rose by 0.76% to $79.62 per barrel.”
According to the agency, Warren Patterson, head of commodity strategy at ING, expected that “oil prices will rise for a short period as the market becomes immune to tensions in the Middle East.”
“While risks in the Middle East are increasing following the recent escalation, the market has become increasingly immune to these tensions, they have been going on for almost a year and have had no impact on oil supplies,” the expert added.
“We expect any rally on the back of these developments to be fairly short-lived unless Iran becomes more directly involved, as this will further increase the risk to oil supplies,” Patterson continued.
“Crude oil prices rose more than 2% on Friday, after US Federal Reserve Chairman Jerome Powell supported the start of interest rate cuts.”
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2024-08-26 21:02:29