10:47 pm – Oil rises to the fence, importers abandon Iranian crude

Oil prices rose on Monday as the prospect of US sanctions pushes importers to abandon Iranian exports. North Sea Brent barrel for delivery in September ended at 78, $ 7 on the London Intercontinental Exchange (ICE), up 96 cents from Friday's close. On the New York Mercantile Exchange (Nymex), a barrel of light sweet crude (WTI) for the August contract took 5 cents to 73.85 dollars. "The market is very volatile as the players seek to badess the disruption of US sanctions against Iran", which will take effect in November due to the exit of the United States from the Iran nuclear deal, commented David Madden, badyst at CMC Markets. While Washington announced at the beginning of the month to sanction the countries that would import Iranian oil, some nations are already moving away from the black gold from the third largest producer of OPEC (Organization of exporting countries). of oil). Japan plans to do without Iranian oil in September if the US does not offer exemptions, reports Bloomberg quoting sources close to the case. South Korea has taken similar steps to prevent Washington's anger. "We expect the sanctions against Iran will remove between 1 and 1.5 million barrels a day of the market," said badysts at Societe Generale, who believe that if Saudi Arabia and Russia are trying to compensate this loss, they will run at full speed and would be vulnerable in the event of other disruptions of the world supply. Meanwhile, despite posting 16 consecutive weekly weeks, US production has recently shown signs of stagnation as barrels per day have been stuck for three weeks at 10.90 million, according to statistics. of the US Energy Information Agency (EIA). "This week will see EIA, OPEC, and the International Energy Agency (IEA) unveil their updates on the state of the oil market, showing how much the market has tightened before the decision of the Opep / non Opep cartel to increase its production, "said badysts Commerzbank. OPEC members and their partners, who have been obliged by an agreement to reduce crude production since the beginning of 2017 to raise prices, have recently decided to make their production quotas less restrictive. "The disruptions in production in Libya and Canada will negate most of the announcements of increased production by these countries, which means the market will remain tight," added Commerzbank badysts. (Belga)

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