The production reduction agreement reached in 206 once raised the oil price from 28 US dollars per barrel to over 70 US dollars per barrel, but the rapid rise in oil prices caused producers to worry that the damage it caused to economic activities would affect the world's demand for crude oil. If an agreement to increase production is reached, it will also be extended to cme crude oil pricenon-OPEC members led by Russia. Therefore, this short-term increase in production may not be a long-term plan. It is predicted that there will be further measures to deal with this problem in the future.
Rouhani insisted that Iran’s agreement to sign the nuclear agreement in 205 has proven to the world that Iran does not seek to obtain weapons of mass destruction. Currently, Iran does not accept any changes to the Iran nuclear agreement. The US threat to Iran is also meaningless.
Yesterday, French President Macron made his own remarks on the Iranian nuclear issue that might break out, saying that Trump can refer to the plan of another new Iranian nuclear agreement. This turned the Iranian nuclear issue that was on the verge of a turn for the better. Emphasize that anything can happen before May 2, but at least Macron's plan temporarily cools the restless market substantially. As a result, the price of crude oil fell from 69 US dollars to below the 68 line.
GraniteShares CEO Will Rhind said. The decision on Iran will affect the situation in the Middle East and therefore oil prices. The decision not to re-impose sanctions may cause more damage because it sends a message to Russia and Iran that the United States does not support Israel’s withdrawal of Iran from Syria. Strong intentions. On the other hand, reimposing sanctions may reduce Iran’s oil production and may prevent Iran from continuing to act in Syria, which may prevent further hostilities in the region.
Due to geopolitical tensions, the oil market is currently facing the risk of overheating. At the same time, the market is closely watching how much OPEC will resume at the Vienna meeting in June. Helmu Croft, head of global bulk strategy at Royal Bank of Canada Capital Markets, said that OPEC and its allies may resume production of hundreds of thousands of barrels per day in June.
On the one hand, there is cme crude oil pricenow a shortage of workers. On the other hand, investors are demanding cash instead of producing more oil. In addition, the Permian oil pipeline bottleneck also forced drillers there to sell oil at a discount.
And just earlier, ConocoPhillips tried to occupy part of the Venezuelan Petroleum Company's storage facilities through legal channels, which caused a bottleneck in Venezuela's port transportation. This is because these facilities have the ability to provide services for very large tankers, and because Venezuela produces heavy oil, it must rely on these facilities for storage and mixing to achieve export.
BNP Paribas’ chief commodity market strategist Harry Cherlin Guian said that Trump’s May sanctions are more than 60% likely, and more than half of the sanctions should be implemented, or up to 500,000 barrels per day. Japanese sanctions are achievable.