Even though the geopolitical outlook remains tense, energy prices are ignoring the uncertainty after both Brent and WTI crude oil prices took out major short-term technical levels that had seen prices elevated for several weeks. WTI slumped overnight as concerns about growing supplies and the reopening of Texas shipping channels saw prices fall just over a point at the open before recovering half the move. This marks the lowest prices since March 2009 when the US was in the depths of the last financial crisis. One factor that might be supportive of prices to the upside in the near-term is the growing possibility of an unexpected event in Saudi Arabia as oil installations are threatened. The United States has issued warnings to citizens traveling in Saudi Arabia and suspended consular operations at the embassy due to security concerns.
Oil Price Slide Resumes
Daily Analysis - 16/03/2015