A barrel of Brent oil is traded at $84.05 in international futures markets.
The forward barrel price of Brent oil, which rose to $86.25 yesterday, completed the day at $84.23.
The barrel price of Brent oil decreased by approximately 0.09 percent compared to the closing time at 09.18 today, reaching 84.05 dollars. At the same time, West Texas Intermediate (WTI) crude oil was sold at $79.02 per barrel.
Oil prices fell as escalating geopolitical tensions in the Middle East increased concerns about global economic growth and oil demand.
The Consumer Price Index (CPI) and Producer Price Index (PPI) data announced this week in the USA were below expectations, strengthening the expectations that the US Federal Reserve (Fed) may postpone interest rate increases. While the expectation of low interest rates stands out as a factor that supports economic activity and energy demand under normal conditions, this effect is considered to be limited in the markets due to geopolitical developments.
While the USA’s intensification of attacks against Iran and Iran’s continuation of retaliatory attacks increased the perception of risk in global markets, investors focused on the possible effects of the conflicts on the world economy.
Analysts state that although the deepening conflicts in the Middle East increase risks to oil supply, the expectation that high energy costs may slow down global growth, which in turn may negatively affect oil demand, puts pressure on prices.
– Tension continues in the Strait of Hormuz
On the other hand, the US army announced that it intervened in some commercial ships sailing in the Gulf of Oman following the re-declared naval blockade against Iran. US Central Command (CENTCOM) reported that three commercial ships were redirected, a ship that did not comply with instructions was neutralized, and another ship was boarded for inspection.
On the other hand, Iranian media announced that at least 10 explosions occurred on Qeshm Island in the Strait of Hormuz following the new wave of US attacks.
While it was evaluated in the markets that possible disruptions in the Strait of Hormuz could negatively affect oil supply, the expectation that the pressure that conflicts could create on global economic growth would weaken the demand outlook was effective in the decline in prices.
Analysts state that investors, on the one hand, follow the Fed’s monetary policy signals for the upcoming period, and on the other hand, continue to closely monitor the possible effects of the US-Iran tension on the energy markets.
It is stated that technically $ 83.32 can be watched as support and $ 85.56 as resistance zone in Brent oil.
