

EBC Markets Briefing | Oil prices firmed after attacks on Russian refineries

Oil prices traded around four-month high on Thursday. They jumped about 3% in the previous session after Ukrainian attacks on Russian refineries and data showed that US crude inventors dropped unexpectedly. Ukraine struck oil refineries in a second day of heavy drone attacks, causing a fire at Rosneft's biggest refinery in what President Vladimir Putin said was an attempt to disrupt his country's presidential election this week. Despite his warning that Russia was technically ready for nuclear war and that if NATO sent troops to Ukraine, Putin, however, added that he saw no need for the use of nuclear weapons in Ukraine. US energy firms pulled a surprise 1.5 million barrels of crude from stockpiles during the week ended 8 March, according to EIA. Analysts forecast in a Reuters poll forecast a gain of 1.3 million barrels. OPEC on Tuesday stuck to its forecast for relatively strong growth in global oil demand in 2024 and 2025, and further raised its economic growth forecast for this year saying there was more room for improvement. Hopes of a ceasefire in Israel's war against Hamas have faded while Israel and Lebanon's Hezbollah continue to exchange fire. Traders are becoming inured to Houthi’s attacks in the Red Sea though. Brent crude has been fluctuating around 200 SMA since early February with the upper end of its trading range at $84.20 capping the further rally. The sideway trend will remain intact until the price breaks below $80. EBC Group Social Responsibility Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC Group Social Responsibility or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

Learn more

Contact:

mkt@ebc.com

Disclaimer:

Investment involves risk. The content of this report is not an investment advice and does not constitute any offer or solicitation to offer or recommendation of any investment product.

Publication date:

2024-03-14 07:03:35 (GMT)

The terms and conditions of use set out below (referred to as "FX Blue's Terms"), form a contractual agreement governing FX Blue's relationship with you in relation to your use of this Website (“Agreement”) and you agree to be legally bound by FX Blue's Terms just as if you had signed this Agreement. By using this Website and any Information, you are agreeing to comply with and be bound by FX Blue's Terms, including any revisions that may be made to FX Blue's Terms from time to time. FX Blue reserves the right, in FX Blue's sole discretion, to change, modify, add or remove portions of FX Blue's Terms at any time by posting the revisions on the Website. You should check FX Blue's Terms periodically for changes as by using the Website after FX Blue posts any changes to FX Blue's Terms, you are agreeing to accept those changes, whether or not you have reviewed them, and you waive any right you may have to receive individualised notice of such changes. FX Blue's Terms may be supplemented by additional terms and conditions pertaining to specific content and activities. You agree and understand that such additional terms and conditions are hereby incorporated by reference to FX Blue's Terms. Your continued use of the Website means that you accept any new or modified FX Blue Terms.