Oil prices stabilize after hitting $72

Oil prices stabilize after hitting $72

Black gold prices are stable after reaching a two-year high above $72 a barrel, but many different factors can change the outlook.

Demand for black gold is surging in both the U.S. and Europe, as COVID-19 restrictions are easing. In such a market scenario, OPEC and its allies are sticking to agreed supply restraints through July.

Oil prices – in a bull market?

During early Monday, June 7, Brent Crude was trading at $71.27/barrel, only $1 lower than its highest value in two years, reached on May 31. WTI Crude also touched $70/barrel for the first time since October 2018, before retreating slightly.

OPEC supply restrictions and demand recovering in part from the pandemic-induced collapse are credited for such price surges.

Iran and global powers will take part in a fifth round of talks on June 10 in Vienna. A possible outcome could see Washington lifting economic sanctions on Iranian oil exports.

Interested in trading red-hot commodities? Check out our commodities page and trade Oil, Gold, copper, and many others via CFDs!

Source: investing.com.

This information prepared by za.capex.com is not an offer or a solicitation for the purpose of purchase or sale of any financial products referred to herein or to enter into any legal relations, nor an advice or a recommendation with respect to such financial products.

This information is prepared for general circulation. It does not regard to the specific investment objectives, financial situation or the particular needs of any recipient.

You should independently evaluate each financial product and consider the suitability of such a financial product, by taking into account your specific investment objectives, financial situation or particular needs, and by consulting an independent financial adviser as needed, before dealing in any financial products mentioned in this document.

This information may not be published, circulated, reproduced or distributed in whole or in part to any other person without the Company’s prior written consent. Past performance is not always indicative of likely or future performance. Any views or opinions presented are solely those of the author and do not necessarily represent those of za.capex.com

JME Financial Services (Pty) Ltd trading as ZA.CAPEX.COM acts as intermediary between the investor and Magnasale Trading Ltd, the counterparty to the contract for difference purchased by the Investor via ZA.CAPEX.COM, authorised & regulated by the Cyprus Securities and Exchange Commission with license number 264/15. Magnasale Trading Ltd is the principal to the CFD purchased by investors.