Crude oil prices are expected to continue consolidating just above the 200-Day EMA, with the 50-Day EMA below it, leading to questions about the market; the possibility of breaking above the shooting star formed on Monday could allow for a move towards $85, while breaking below the moving averages could result in a drop to $75 due to noise from OPEC countries cutting production. The Brent markets also show signs of negativity but are supported by the 200-Day EMA and the 50-Day EMA, with potential to reach the $90 region; attention should also be given to the US dollar's influence on the market.
The price of Brent crude oil hitting triple digits this year is debatable, with some experts believing it is unlikely due to macro factors and demand concerns, while others predict it could reach $100 per barrel if certain conditions are met, such as consistent OECD crude and product stock draws and OPEC adherence to production cuts.
Oil prices edge higher in an uncertain market as US crude futures rise 0.1% to $78.94 a barrel, despite a 2% drop for the week, due to production cuts by major oil producers and a mixed US economy.
The surge in gasoline prices poses risks for President Joe Biden and his green agenda, despite the fact that U.S. oil production is on track to set a new record this year and is expected to continue rising in the future.
Oil prices rise as US crude inventories decline by 11.5 million barrels and concerns about Hurricane Idalia in the Gulf of Mexico persist.
Crude oil prices could be vulnerable to further rises due to tight supply, warns Ben Luckock, Co-Head of Oil Trading at Trafigura.
Oil prices jumped over 2.5% after OPEC+ members extended supply reductions, with Brent International topping $90 per barrel and West Texas Intermediate hovering above $87 per barrel, as Saudi Arabia announced an extension of its production cut and Russia reduced its exports. Despite slow recovery and increased production, crude futures have rallied more than 25% since late June, with experts predicting prices to continue rising unless a recession occurs. China's demand for petrochemicals has been dampened, but their mobility demand post-lockdowns has offset this.
The rebounding crude oil prices and fading annual base effects suggest that energy prices may become a headwind for global markets, potentially complicating the battle against inflation and tightening monetary policies.
Goldman Sachs predicts that oil prices could reach $107 per barrel next year if OPEC+ producers maintain their production cuts, although this is not their base-case scenario.
If Saudi Arabia continues to keep its output low, oil prices could surpass $100 as the market has yet to experience the full impact of its production cuts, according to Vortexa.
The OPEC+ decision to cut production is putting inflationary pressure on the US and its allies, while China's encouragement of higher oil and gas prices may have negative economic consequences for the country. The short-term steady equilibrium price for Brent is projected to be around $80-85 per barrel, with a ceiling of $95 per barrel.
Oil prices are climbing towards $100 per barrel due to supply disruptions in Libya and expectations of a further U.S. inventory draw.
OPEC expects robust growth in global oil demand in 2023 and 2024, with pre-pandemic levels surpassing by 2023, due to signs of strong recovery in major economies despite challenges like high interest rates and inflation.
The US is facing a significant risk to its energy security as its oil reserves hit a 40-year low, leaving it more reliant on imports and vulnerable to supply disruptions and price volatility in the global oil market, according to markets guru Larry McDonald. The Biden administration has been draining the strategic petroleum reserves since the start of the Ukraine war to cap energy prices, but with oil prices surging, the situation could exacerbate inflationary pressures and prompt the Federal Reserve to maintain higher interest rates for longer.
Oil prices continue to rise as OPEC+ supply cuts tighten the market, with Brent crude surpassing $94 a barrel and speculators increasing bullish wagers on Brent and West Texas Intermediate, leading to concerns about inflationary pressures.
Gasoline prices are rising due to oil supply cuts in Saudi Arabia and Russia, as well as flooding in Libya, but some experts believe that increasing oil prices will not have a significant impact on the US economy and do not expect them to rise much higher in the next year or two due to factors such as increased US oil production, slow global economic growth, and the green energy transition. However, high oil prices can lead to higher inflation, potential recession, and could influence the Federal Reserve to raise interest rates, but the impact may not be as severe as in the past, and some experts recommend investing in the energy transition and adopting a more defensive investment strategy.
Some grades of crude oil, such as Nigerian crude Qua Iboe and Malaysian crude Tapis, are already trading above $100 a barrel, highlighting expectations of tight supply as oil prices continue to rise due to concerns of a supply deficit in the fourth quarter.
Chevron CEO says the economy can handle rising oil prices, with prices on track to reach $100 per barrel due to supply constraints and a resilient global economy.
Goldman Sachs predicts that crude oil prices could reach $100 a barrel, posing a risk to global economic growth and complicating central bankers' efforts to control inflation, which could impact interest rate policies and further increase gasoline prices.
The recent global supply concerns caused by Russia's fuel export ban are driving up oil prices, counteracting the demand fears driven by macroeconomic headwinds and high interest rates.
Crude oil prices are expected to decline this week due to profit-taking and concerns over the economy, despite Russia's ban on fuel exports adding upward pressure to prices.
Continental Resources CEO Doug Lawler predicts that crude prices will remain high and could reach $120 to $150 per barrel without increased production, adding that more output is necessary to prevent further price pressure.
Oil prices reached a 2023 high as inventories at the largest storage hub in the US decreased, leading to speculation of $100 per barrel oil in the near future.
Oil prices near $100 per barrel, driven by supply cuts from major producers, may not be sustainable in the long term due to global economic fragility, incoming seasonal demand drops, and the potential for demand destruction once prices reach $110 per barrel.
Oil prices are facing resistance above $95 per barrel due to concerns that Saudi Arabia may unwind its production cuts earlier than expected, despite bullish catalysts such as falling crude inventories and the approval of the largest oilfield in the UK North Sea.
The secretary general of Opec+ predicts that oil prices will remain high due to increasing energy demand, as Saudi Arabia cuts its crude oil production by a million barrels a day and warns of a potential supply shortfall.
The OPEC+ group is not expected to ease production cuts despite tight oil market conditions and fears of demand destruction if prices remain high.
Oil prices fell ahead of an OPEC+ meeting as concerns about high interest rates and a strengthening dollar outweighed expectations of supply tightness.
India, the world's third-biggest oil importer, has urged oil producers, including OPEC+, to show sensitivity towards consuming countries as prices remain high above $90 a barrel.
The recent Israel-Palestine conflict may cause a temporary spike in crude oil prices, but the overall impact on global oil supply is expected to be limited unless the conflict escalates further.
OPEC+ decides to maintain current oil production cuts, causing a drop in crude oil prices despite the potential need for higher prices to impact demand, with oil demand booming in China and India but declining in the US.
OPEC heavyweights argue that the oil and gas industry should not be stigmatized in the climate debate and assert that the industry has a role to play in a responsible energy transition.
OPEC has raised its long-term forecast for global oil demand, predicting that it will reach 116 million barrels per day by 2045 and requiring $14 trillion in investment to meet this upswing, despite the expansion of renewable energy technologies.
OPEC raised its world oil demand forecasts for the medium and long term, estimating that $14 trillion of investment is needed to meet the demand by 2045, despite the pushback against net zero targets and the rise of renewable fuels and electric cars.
OPEC has stated that the world needs $14 trillion in investments in the oil sector by 2045 to ensure market stability and avoid energy and economic chaos, with the bulk of the investments needed in the upstream segment.
Oil prices fell over $1 a barrel as traders remained cautious about potential supply disruptions amid military clashes between Israel and Hamas, although concerns about Middle East supply and an expected deficit for the rest of the year have led to the pricing in of a risk premium.
Mounting threats to global gas supply, including the Israel-Hamas war, potential strikes, infrastructure vulnerabilities, and a leak in a Baltic Sea pipeline, are causing fear in the market and driving up fuel prices, particularly in Asia and Europe. The energy crisis is far from over and any disruptions to gas flows could have significant impacts on the market.
Escalating tensions in the Middle East, particularly the threat of a ground invasion of Gaza by Israel, have raised concerns about disruptions to oil supplies and driven up oil prices, with West Texas Intermediate crude climbing 3.6% to $85.93 a barrel and Brent crude jumping 4% to $89.41 a barrel.
Crude oil prices could rise to $140 per barrel, potentially triggering a global recession, due to tensions in the Middle East and the possibility of a broader conflict between Israel and Hamas, according to Allianz Trade.
