Concerns about the potential fallout (no pun intended) of Donald Trump's potential withdrawal from the Iran nuclear agreement which (amongst other things) saw a lifting of global sanctions against Iran and its return to the crude oil suppliers' market has been credited with pushing crude oil prices to their strongest levels for three years.
We at SAFE agree are encouraged by the president highlighting OPEC's market influence and believe the administration should remain focused on solutions to mitigate OPEC's actions and their impact on USA consumers and the global economy as gasoline prices continue to rise.
Donald Trump has doubts about the extension of the "nuclear deal" with Iran at the time when Saudi Arabia has been speculating on the bull market, Venezuela has been cutting its oil production, the situation in Syria and in the Middle East in general has been exacerbating. USA crude rose 29 cents to US$68.93, having hit its highest since November 28, 2014 on Thursday.
Oil prices are expected to average $65/bbl over 2019 as well.
Additionally, Iran's oil minister told reporters Monday that OPEC may not have to extend production cuts - which expires at the end of the year - if prices keep surging.
This represented a reduction in global oil production of about 2 percent. The benchmark Brent Crude has been trading fractionally above $75 per barrel before falling back. "No good and will not be accepted!"
Amazon's Upcoming Fire TV Cube Sounds and Looks Kinda Sweet
The Echo Dot receives a huge discount as well with the current price set at Rs 3,999 instead of its original Rs 4,499 price tag. AFTVnews reported that it's equipped with far-field microphones and an integrated speaker, as well as an LED light bar.
Retail gasoline prices are forecast this year to reach their highest summer average since 2014, potentially wiping out household gains from last year's tax cut.
Commodity funds are now attracting investments at the fastest pace in more than a year as geopolitical concerns are boosting oil prices to the highest levels since 2014.
"Oil prices are artificially Very High!" At the same time, the world's biggest exporter, Saudi Arabia, wants oil at $80 per barrel as a way of boosting the budget and implementing the projected reforms.
The American Petroleum Institute (API) on Tuesday reported a buildup of 1.099 million barrels of the United States crude oil inventories for the week ending April 20, showing an unexpected weekly climb. He said the danger now facing the market is that Opec overshoots on tightening the market, which could exacerbate the backwardation in prices, prolong the rally in near-term prices and ultimately erode demand. Analysts believe that although higher oil prices may improve sentiment on the stocks, it may not necessarily be reflected by the share prices immediately.
As a result, the USA economy would, on balance, benefit from lower oil prices.