On the other hand, its domestic development needs. Among them, Saudi Arabia wants to get rid of the shCurrent crude oil transaction pricesackles of crude oil. Increasing oil prices is conducive to occupying more shares in Saudi Aramco. The time and scope of Russia's sanctions by Europe and the United States has expanded. Energy resources such as crude oil can be obtained. At the same time, Russia's European market was seized by Iran.
CNBC stated that India buys crude oil and natural gas from OPEC countries, which account for 86% and 75% of its total imports, and India cannot obtain better prices from bargaining. With the increase in oil prices and the weakening of the Indian rupee against the US dollar, the prices of diesel and gasoline in India have soared to 5-year highs, putting great pressure on the Indian economy.
Abstract: Recently, the oil market has not calmed down, and the trend of oil prices is becoming more and more unpredictable when the long and short factors are intertwined. As of the week of July 7, hedge funds were unable to predict the future trend of the oil market, and they had no choice but to leave the market, slashing their net long crude oil positions by 7.8 billion barrels.
Arbitration, India should continue to buy oil from Iran and should not easily succumb to the demands of the United States. According to people familiar with the matter, India is expected to import 250,000 tons of crude oil from Iran this month, or about 9 million barrels. In October, India’s oil imports from Iran may reach 10 million barrels, which will decline in the month, but imports will continue.
James Williams, an energy economist at Economics, believes that if sanctions are restored, global crude oil output will decrease by 500,000 barrels per day, or less, partly due to possible increases in oil production by other oil-producing countries in the world. However, this phenomenon may not happen immediately.
Although Trump announced early this week to tear up the Iran nuclear agreement, Iran’s tolerance kept the entire Middle East situation in a safe state for the time being. Although crude oil prices hit a record high of US$789 on Thursday, the market immediately took a turn for the worse on Friday. The closing fell below the 7 mark to close at 70.50 US dollars. On the one hand, the factors leading to the decline in oil prices originated from the cooling of the situation in the Middle East. After Trump withdrew from the Iran nuclear agreement, no further conflicts broke out between the United States and Iran. On the other hand, the number of drilling welCurrent crude oil transaction pricesls in the United States continued to rise, suggesting that The continued increase in U.S. oil production is a negative for crude oil.
The market expects that the United States may restart sanctions on Iran in May. Since Iran is an important crude oil producer in the Middle East, investors are worried that this move will severely damage the local crude oil supply, thereby reducing the supply level in the global oil market and helping oil prices continue to rebound.