TRADELINE LIVE NEWS UPDATE
UPDATE 4-Oil rises towards 4-year high as Iran sanctions loom
Oct 3 - Oil traded above $85 a barrel and near a four-year high on Wednesday, supported by expectations that U.S. sanctions on Iran will tighten supply and strain the ability of Saudi Arabia and other producers to pump more.
Crude exports from Iran, OPEC's third-largest producer, are already falling as the U.S. sanctions kicking in on Nov. 4 deter buyers. The drop in exports is reducing the impact of an OPEC production increase agreed in June. OPEC/O
Brent crude LCOc1 , the global benchmark, was up 38 cents at $85.18 a barrel at 0833 GMT. It reached $85.45 on Monday, its highest level since November 2014. U.S. crude CLc1 was up 24 cents at $75.47.
With Iranian exports expected to fall further, analysts say there may not be enough spare production capacity in the short term to meet demand, potentially requiring large withdrawals from storage.
"Iran is the main supportive factor and is a test to the spare capacity of Saudi Arabia," said Olivier Jakob, analyst at Petromatrix.
"The fact that Saudi Arabia has been timid in its reaction has reinforced the notion there is limited spare capacity available."
www.tradelinecommodity.com
India's No.1mcx Tips Provider
Missed Call @:/8057046270/8057690837
UPDATE 4-Oil rises towards 4-year high as Iran sanctions loom
Oct 3 - Oil traded above $85 a barrel and near a four-year high on Wednesday, supported by expectations that U.S. sanctions on Iran will tighten supply and strain the ability of Saudi Arabia and other producers to pump more.
Crude exports from Iran, OPEC's third-largest producer, are already falling as the U.S. sanctions kicking in on Nov. 4 deter buyers. The drop in exports is reducing the impact of an OPEC production increase agreed in June. OPEC/O
Brent crude LCOc1 , the global benchmark, was up 38 cents at $85.18 a barrel at 0833 GMT. It reached $85.45 on Monday, its highest level since November 2014. U.S. crude CLc1 was up 24 cents at $75.47.
With Iranian exports expected to fall further, analysts say there may not be enough spare production capacity in the short term to meet demand, potentially requiring large withdrawals from storage.
"Iran is the main supportive factor and is a test to the spare capacity of Saudi Arabia," said Olivier Jakob, analyst at Petromatrix.
"The fact that Saudi Arabia has been timid in its reaction has reinforced the notion there is limited spare capacity available."
www.tradelinecommodity.com
India's No.1mcx Tips Provider
Missed Call @:/8057046270/8057690837
Comments