Commodities
Home›Commodities›Energy›Brent rises above $91 as US-Iran tensions and supply c…
Brent rises above $91 as US-Iran tensions and supply concerns persist
ICE Brent has logged a third straight session of gains above $91 a barrel, supported by geopolitical risks around the Strait of Hormuz and reports of diversified Saudi export routes.
Brent extended its rally above $91 per barrel, with ING strategists Ewa Manthey and Warren Patterson pointing to geopolitical risks and supply concerns as key supports for prices, according to FXStreet.
FXStreet notes sentiment has been backed by President Donald Trump’s decision not to extend the US-Iran peace agreement, alongside ongoing security worries in the Strait of Hormuz that raise the risk of supply disruptions.
ING also highlighted signs of changing crude export flows, with Saudi Arabia reportedly offering cargoes from off the coast of Oman and marketing Arab Medium and Arab Heavy grades via ship-to-ship transfers from terminals including Sohar.
On the demand and product side, FXStreet cited ING’s view that Chinese refinery throughput fell 15.8% year on year in July to 12.5 million barrels per day, while apparent oil demand declined 17.5% year on year to 12.04 million barrels per day, and it said middle distillates firmed with the ICE gasoil crack nearing $76 per metric ton.
Latest closeWTI crude $82.40 ▲1.4%|Brent $88.59 ▲1.8%