Latest news with #oilprice
Yahoo
2 hours ago
- Business
- Yahoo
Gas prices to increase 'modestly' despite recent oil volatility
Gas prices could go up modestly in the coming weeks, given Friday's 7% oil price spike on the heels of the Israel-Iran conflict. But analysts view any increase as likely short-lived. The national average price of gasoline stood at $3.14 per gallon on Monday, up about $0.02 from a week ago and $0.30 lower than a year ago, according to AAA data. "Keep in mind gas prices are still 10% below last summer at this point," GasBuddy head of petroleum analysis Patrick De Haan told Yahoo Finance. "I still think we have a lot of room even for prices to go up modestly here over the next week or two." On Monday, traders priced in a limited impact from the conflict after a Wall Street Journal report indicated Tehran may be willing to return to nuclear talks in order to deescalate the conflict. Brent crude futures (BZ=F) fell almost 4% to around $71 per barrel, while West Texas Intermediate futures (CL=F) changed hands at around $70 per barrel. "If the market senses that the attacks are coming to an end, prices will drop," Andy Lipow, president of Lipow Oil Associates, wrote in a note on Monday morning. "In the meantime, gasoline prices are expected to increase about 10 cents per gallon over the next few weeks." Despite a brief rise, analysts expect prices at the pump to eventually fall in the months ahead. "Ultimately, gasoline prices are headed sharply lower by the last 100 days of 2025, but for the moment, the drops have been arrested and prices will wobble a bit higher," Tom Kloza, chief market analyst at Turner, Mason & Co. said. Read more: Best credit cards for gas for 2025 Wall Street analysts were quick to point out that oil could head to $90 per barrel or even triple digits if the conflict spilled over into other areas or if the Strait of Hormuz, a key shipping waterway between the Persian Gulf and the Gulf of Oman, were to be blocked. "The softest targets that Iran could target that could have the greatest impact on oil prices are tankers carrying oil destined for the USA transiting through the Strait of Hormuz," Lipow said. He added, "They would not need to attack oil producing facilities in Saudia Arabia, Kuwait, UAE to cause a spike in oil prices." The Organization of Petroleum Exporting Countries and its allies (OPEC+) has been steadily increasing output leading up to Israel's surprise attack on Iran last week. Year-to-date oil prices are negative for the year, with WTI down more than 3%. Brent has declined roughly 5% during the same period. Ines Ferre is a Senior Business Reporter for Yahoo Finance. Follow her on X at @ines_ferre. Click here for in-depth analysis of the latest stock market news and events moving stock prices Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Zawya
6 hours ago
- Business
- Zawya
Kuwait crude oil up $1.29 to $77.46 pb
KUWAIT -- The Kuwaiti crude oil price rose by USD 1.29 during Thursday's trading to reach USD 77.46 per barrel (pb),compared with USD 76.17 pb the day before, Kuwait Petroleum Corporation (KPC) said Friday. Brent futures also rose by USD 2.15 to USD 78.85 pb and West Texas Intermediate went up by USD 2.06 to USD 77.20 pb. All KUNA right are reserved © 2022. Provided by SyndiGate Media Inc. (
Free Malaysia Today
15 hours ago
- Business
- Free Malaysia Today
Stocks tumble, dollar up as Middle East war lights safe-haven trade
In Europe, stocks fell for a third day, leaving the STOXX 600 down nearly 2.5% on the week. (AFP pic) TOKYO : Global stocks fell and the US dollar rose today, reflecting investors' preference for perceived safe-havens as concernsmounted over possible US involvement in the Israel-Iran air war, which has ignited a rally in the oil price this week. On the geopolitical front, President Donald Trump kept the world guessing about whether the US would join Israel's bombardment of Iranian nuclear sites, telling reporters outside the White House today; 'I may do it. I may not do it'. A flurry of central bank decisions in Europe highlighted how Trump's erratic approach to trade and tariffs has complicated the job of central bankers in setting monetary policy. In Europe, stocks fell for a third day, leaving the STOXX 600 down nearly 2.5% on the week, set for its biggest week-on-week decline since the tariff-induced turmoil of April. US S&P 500 futures fell 0.5%, although most US markets – including Wall Street and the Treasury market – will be closed today for a public holiday. 'Market participants remain edgy and uncertain,' said Kyle Rodda, senior financial markets analyst at Speculation was rife 'that the US will intervene, something that would mark a material escalation and could invite direct retaliation against the US by Iran,' he added. 'Such a scenario would raise the risk of a greater regional conflict, with implications for global energy supply and probably economic growth,' Rodda said. Much of the recent nervousness in markets has been centred around crude supply shocks from the Middle East, which has driven the price of crude oil up by 11% in a week. Brent crude rose by as much as nearly 1% to US$77.40 a barrel, close to its highest since January. Gold, which tends to struggle when the dollar gains, pared earlier losses to trade at US$3,372 an ounce, up 0.1% on the day. The dollar itself rose broadly, leaving the euro down 0.1% at US$1.1466 and the Australian and New Zealand dollars – both risk-linked currencies – down 0.7% and 1%, respectively. Central bank policy Overnight, the Federal Reserve (Fed) delivered mixed signals to markets. Much to Trump's displeasure, policymakers held rates steady as expected and retained projections for two quarter-point rate cuts this year. However, Fed chair Jerome Powell struck a cautious note about further easing ahead, saying at his press conference that he expects 'meaningful' inflation ahead as a result of Trump's aggressive trade tariffs. Strategists at MUFG said the Fed 'is underestimating the weakness in the economy that was present before the tariff shock, specifically, almost ignoring the cracks that have been visible in the labour market for years'. The Bank of England left UK rates unchanged, as expected, and policymakers said trade policy uncertainty would continue to hurt the economy, triggering a drop in the pound. The Norges Bank surprised markets with a quarter-point cut that weighed on the crown currency, while the Swiss National Bank cut interest rates to zero, as expected, but the fact it did not go below zero gave the franc a lift, leaving the dollar down 0.1% at 0.8184 francs. In commodity markets, the price of platinum hit its highest in almost 11 years, near US$1,300 an ounce, driven partly by what analysts said was consumers seeking a cheaper alternative to gold.
CNA
a day ago
- Business
- CNA
Stocks tumble, dollar up as Middle East war lights safe-haven trade
TOKYO/LONDON :Global stocks fell and the dollar rose on Thursday, reflecting investors' preference for perceived safe havens as concerns mounted over possible U.S. involvement in the Israel-Iran air war, which has ignited a rally in the oil price this week. On the geopolitical front, President Donald Trump kept the world guessing about whether the United States would join Israel's bombardment of Iranian nuclear sites, telling reporters outside the White House on Thursday; "I may do it. I may not do it." A flurry of central bank decisions in Europe highlighted how Trump's erratic approach to trade and tariffs has complicated the job of central bankers in setting monetary policy. In Europe, stocks fell for a third day, leaving the STOXX 600 down nearly 2.5 per cent on the week, set for its biggest week-on-week decline since the tariff-induced turmoil of April. U.S. S&P 500 futures fell 0.5 per cent, although most U.S. markets - including Wall Street and the Treasury market - will be closed on Thursday for a public holiday. "Market participants remain edgy and uncertain," said Kyle Rodda, senior financial markets analyst at Speculation was rife "that the U.S. will intervene, something that would mark a material escalation and could invite direct retaliation against the U.S. by Iran," he added. "Such a scenario would raise the risk of a greater regional conflict, with implications for global energy supply and probably economic growth." Much of the recent nervousness in markets has been centred around crude supply shocks from the Middle East, which has driven the price of crude oil up by 11 per cent in a week. Brent crude rose by as much as nearly 1 per cent to $77.40 a barrel, close to its highest since January. Gold, which tends to struggle when the dollar gains, pared earlier losses to trade at $3,372 an ounce, up 0.1 per cent on the day. The dollar itself rose broadly, leaving the euro down 0.1 per cent at $1.1466 and the Australian and New Zealand dollars - both risk-linked currencies - down 0.7 per cent and 1 per cent, respectively. CENTRAL BANK POLICY Overnight, the Federal Reserve delivered mixed signals to markets. Much to Trump's displeasure, policymakers held rates steady as expected and retained projections for two quarter-point rate cuts this year. However, Fed Chair Jerome Powell struck a cautious note about further easing ahead, saying at his press conference that he expects "meaningful" inflation ahead as a result of Trump's aggressive trade tariffs. Strategists at MUFG said the Fed "is underestimating the weakness in the economy that was present before the tariff shock, specifically, almost ignoring the cracks that have been visible in the labor market for years". The Bank of England left UK rates unchanged, as expected, and policymakers said trade policy uncertainty would continue to hurt the economy, triggering a drop in the pound. The Norges Bank surprised markets with a quarter-point cut that weighed on the crown currency, while the Swiss National Bank cut interest rates to zero, as expected, but the fact it did not go below zero gave the franc a lift, leaving the dollar down 0.1 per cent at 0.8184 francs. In commodity markets, the price of platinum hit its highest in almost 11 years, near $1,300 an ounce, driven partly by what analysts said was consumers seeking a cheaper alternative to gold.
ArabGT
2 days ago
- Business
- ArabGT
How Regional Conflicts Are Reshaping Global Oil Prices
As tensions escalate between two regional powers in the Middle East, energy security returns to the forefront, with growing concerns over the direct impact on global oil supply stability. The conflict between Iran and the occupying state has moved beyond mere military posturing, evolving into an international state of watchfulness amid rising fears of a shock to global markets. In this context, BMI – a division of Fitch Solutions – offers a deep analysis of the oil price outlook, based on daily-updated data and long-term models tracking geopolitical and economic variables influencing the market. The company's latest report is considered one of the most comprehensive assessments of how this conflict could shape the global energy landscape, especially through a set of divergent scenarios for oil price trajectories. Possible Scenarios and Oil Prices BMI outlines five scenarios in which the price of Brent crude could range between $60 and $150 per barrel, depending on the severity of the escalation: Scenario 1 – Limited Retaliation with Diplomatic Openings: A limited Iranian response combined with openness to a U.S.-brokered nuclear deal could bring prices down to $60–65 per barrel. Scenario 2 – Nuclear Program Stalls without Agreement: A weakened Iranian nuclear program without a new deal would likely keep prices between $60–70 per barrel. Scenario 3 – Controlled Escalation Followed by De-escalation: A cycle of mutual strikes with Israel followed by gradual de-escalation would maintain prices in the range of $60–80 per barrel. Scenario 4 – Military Confrontation Involving the U.S.: Escalation against Israel that draws in the United States militarily could drive prices up to $75–100 per barrel. Scenario 5 – Full-scale Conflict and Hormuz Disruption: A direct and extensive clash between Iran and the U.S., particularly involving the closure of the Strait of Hormuz, may push prices to $100–150 per barrel. Estimates suggest that an open conflict could trigger significant economic disruptions, including a slowdown in global growth and a surge in inflation. Conversely, a partial de-escalation could help stabilize prices without major shocks. Despite the various scenarios, BMI leans toward a forecast of limited, non-expansive hostilities, allowing for greater international flexibility in managing the crisis and giving involved parties space to reassess their strategic decisions before crossing into broader conflict. The report also points to obstacles facing a strong Iranian response, largely due to military and political constraints. Additionally, regional players like Hezbollah and the Houthis are not expected to play a significant role at this stage, reducing the likelihood of a wider escalation. On the diplomatic front, there remains a possibility that Iran could be compelled to return to nuclear negotiations, which could lead to a lift in sanctions and an increase in its oil exports. However, BMI views this scenario as unlikely in the near term due to internal political pressures that would make such a concession difficult for Tehran. Overall, oil prices and energy markets remain vulnerable to volatility amid a highly unstable political environment, with oil acting as a sensitive barometer reflecting every field development or diplomatic signal. As investors continue to monitor the situation closely, the future of oil prices hinges on the next move in the conflict.
