Oil Prices Rise Again, Trump Continues Pressure on Iran and US Stockpiles Shrink
World oil prices rose again on Thursday (6/27), driven by two main factors: US President Donald Trump's statement that emphasized that pressure on Iran would continue, as well as reports of a significant decline in US crude oil stocks. Brent crude was trading near $68 per barrel after rising 0.8% on Wednesday, while West Texas Intermediate (WTI) also rose to around $65 per barrel.
Trump emphasized that the "maximum pressure" strategWorld oil prices rose again on Thursday (6/27), driven by two main factors: US President Donald Trump's statement that emphasized that pressure on Iran would continue, as well as reports of a significant decline in US crude oil stocks. Brent crude was trading near $68 per barrel after rising 0.8% on Wednesday, while West Texas Intermediate (WTI) also rose to around $65 per barrel.
Trump emphasized that the "maximum pressure" strategy against Iran was still ongoing, even though a ceasefire with Israel had eased tensions in the Middle East. He also said there would be talks with Iran next week, but continued to highlight that US sanctions had not succeeded in stopping Iran's oil exports to countries like China. "If they're going to sell oil, they're going to sell oil," he said at a press conference in The Hague.
On the other hand, data from the US government showed that crude oil inventories fell for a fifth straight week, falling by 5.84 million barrels to their lowest seasonal level in 11 years. Stockpiles at the main storage hub in Cushing, Oklahoma, also fell for the past three weeks. The decline in stocks indicates strong demand, which has supported oil prices amid concerns about global supply that have eased after the ceasefire.
Looking ahead, market attention will be focused on the OPEC+ meeting on July 6, which will discuss production policy for August. Russia is said to be open to the possibility of increasing production if deemed necessary. However, analysts warn that with geopolitical tensions starting to ease, market focus could soon shift to potential increases in supply and constraints on global demand. Even so, analyst Zhou Mi believes that low stocks and seasonal tightness could restrain the downward trend in oil prices in the near term.
Source: Newsmakery against Iran was still ongoing, even though a ceasefire with Israel had eased tensions in the Middle East. He also said there would be talks with Iran next week, but continued to highlight that US sanctions had not succeeded in stopping Iran's oil exports to countries like China. "If they're going to sell oil, they're going to sell oil," he said at a press conference in The Hague.
On the other hand, data from the US government showed that crude oil inventories fell for a fifth straight week, falling by 5.84 million barrels to their lowest seasonal level in 11 years. Stockpiles at the main storage hub in Cushing, Oklahoma, also fell for the past three weeks. The decline in stocks indicates strong demand, which has supported oil prices amid concerns about global supply that have eased after the ceasefire.
Looking ahead, market attention will be focused on the OPEC+ meeting on July 6, which will discuss production policy for August. Russia is said to be open to the possibility of increasing production if deemed necessary. However, analysts warn that with geopolitical tensions starting to ease, market focus could soon shift to potential increases in supply and constraints on global demand. Even so, analyst Zhou Mi believes that low stocks and seasonal tightness could restrain the downward trend in oil prices in the near term.
Source: Newsmaker
