At present, the main factor that suppresses the crude oil market is still OPEC’s concerns about increasing production. UnlBakken Crude Oil Priceess OPEC can give a clear signal, it is unlikely that the crude oil market will rise before the June meeting. At the same time, this week's PCE inflation and non-agricultural data may bring another big wave to the US dollar. If the recent strong US dollar is further expanded, the pressure on crude oil will be greater. The current oil price just barely stopped falling under the support of the 66 line, and the overall situation has not escaped danger.
Earlier this year, ExxonMobil, the world's largest listed oil company, said that if governments around the world decide to take measures to curb the effects of climate change, oil demand may fall to about 78 million barrels per day.
Some analysts said that idle production capacity may even fall below 2%. This is because the low oil prices throughout the year have made the crude oil industry's investment insufficient, which also limits the increase in new production capacity. Saudi Arabia, which dominates OPEC, has made it clear that it will support the rise in crude oil production at the Vienna meeting next week, which is a clear negative signal for the current oil market.
I have been counting on US crude oil to rise one day. In just a few weeks, US crude oil fell from about US$7 per barrel to US$65. . . Moreover, even in the seasonal decline window, it is a big market for oil prices to fall all the way without correction, ICAP-TA Chief Technical Analyst Walter
Celente said: We have been predicting that an uncertain event may trigger a series of economic dynamics that will shift the global market from a correction mode to a collapse mode. As he has repeatedly predicted, no one plays more unruly than Trump, and Trump's actions on Tuesday also proved this.
The IEA estimates that non-OEPC production in 208 will increase by 800,000 barrels per day, more than double the 700,000 barrels per day in 207. Both the U.S. Energy Information Administration EIA and OPEC have predicted that U.S. crude oil production will exceed 10 million barrels per day this year. Today IEA also made the same prediction. On the demand side, theBakken Crude Oil Price IEA expects non-global crude oil demand to increase by 500,000 barrels per day, which is consistent with last month’s expectations. IEA pointed out that due to the healthy recovery of the global economy, international oil prices have risen by 55% since June, and rising oil prices may limit demand growth to a certain extent.
Kloza said that to truly cut off Iran’s oil exports, a maritime blockade must be implemented. I know the government has the ability to do so, but I think that the US midterm elections are coming soon and Trump will not want the American people to face doomsday oil prices.