Εxplosion in oil prices

12:11 16/9/2019 - Πηγή: In.gr

Oil prices rose to a four-month high today (as opposed to a six-month high, as Reuters had erroneously reported earlier) following the weekend attacks on crude plants in Saudi Arabia that sparked fears considering the market supply.

 Futures for Brent

crude rose nearly 20% to some point earlier today, while American crude rose nearly 16%.

 Brent and American crude prices hit their highest level since May.

 However, they have fallen after US President Donald Trump approved the use of the country’s strategic oil reserves to ensure a smooth supply.

 At 09:40 (local time in Greece), futures for Brent rose 10% to $ 66.31 a barrel, while US crude price rose 9% to $ 59.82 a barrel.

Trump also mentioned that United States are ready for a possible response to the Saudi plant blows, which have halted the extraction of 5.7 million barrels of argon, nearly 50% of total production or more than 5% of world supply.

 These developments have fueled fears of tension in the Middle East and of deteriorating relations between Iran and the US, turning investors into so-called safe havens, with gold prices up 1% to $ 1,503.4 an ounce.

Source: ΑΠΕ