MTECHTIPS:-Oil holds gains as Iraq, U.S.-Iran tension raises risks

MTECHTIPS:-Oil holds gains as Iraq, U.S.-Iran tension raises risks

MTECHTIPS-Oil prices crept higher on Tuesday, holding on to gains made as fighting between Iraqi and Kurdish forces threatened supplies from northern Iraq while political tension rose between the United States and Iran. After months of rangebound trading during which OPEC-led supply cuts supported crude values but rising U.S. output capped markets, prices have moved up significantly this month. Brent crude oil (LCOc1) was up 25 cents at $58.07 a barrel by 0845 GMT, up almost a third from its mid-year levels. U.S. light, sweet crude (CLc1) was 25 cents higher at $52.12. Iraqi government forces captured the Kurdish-held oil city of Kirkuk on Monday, responding to a Kurdish independence referendum. There were unconfirmed reports that Kurdish forces had shut around 350,000 barrels per day (bpd) of oil production from major fields. “In the case of Kurdistan, the 500,000 bpd Kirkuk oilfield cluster is at risk,” Goldman Sachs (NYSE:GS) said in a note to clients. Tension between the United States and Iran is rising, also raising the global risk premium for oil. U.S. President Donald Trump on Friday refused to certify Iran’s compliance over a nuclear deal, leaving Congress 60 days to decide further action against Tehran. “If there (were new sanctions), we expect that several hundred thousand barrels of Iranian exports would be immediately at risk,” Goldman said. During the previous round of sanctions against Iran, around 1 million bpd of oil was cut from global markets

MTECHTIPS-Apply For 2 Days Free Trails Equity & Commodity Tips

WWW.MTECHTIPS.COM
07489294118-119