Forex Marketz Daily Forex News – Fully Markets Update
Crude oil future contacts edged higher Tuesday morning during Asian trade hours. Traders are growing worried over the increasing risk of supply disruptions. These worries are mounting as tensions in the Middle East continue to mount.
As of 1:30 am GMT, the international benchmark for oil futures, Brent crude oil futures were trading at $71.80 per barrel. This is up 38 cents, or 0.5 percent, from their previous settlement on Monday.
U.S. West Texas Intermediate (WTI) crude futures were trading higher by 39 cents, or 0.6 percent. They were last fetching $66.61 per barrel.
Crude Oil Traders continue to watch Developing Middle East Headlines
Oil traders say that the market is finding general support not only from production limitations by the nations in the OPEC cartel, as well as non-members led by Russia, but from worries that there are high risks of supply disruptions developing around the world. This includes a potentially spreading conflict in the Middle East. There are also renewed U.S. sanctions against Iran and falling production thanks to a political and economic crisis in Venezuela.
Oil markets have been well supported this year. The international benchmark, Brent is up by nearly 16 percent from its 2018 low set back in February. This is due to healthy demand. This demand, in part, as mentioned above, comes from producers in the cartel of the Organization of the Petroleum Exporting Countries (OPEC). They are leading the way for supply cuts. This scheme is aimed at tightening the market and supporting prices.
