A barrel of West Texas Intermediate oil in deliveries for July on Tuesday morning costs $ 72.37 on the New York Stock Exchange, which means an increase of 0.8 percent. Brent oil prices on the ICE stock exchange (August contract) is valued at $ 73.88. for a barrel, after an increase of 0.9 percent
US President Donald Trump called the inhabitants of Tehran in a post posted in social media for immediate evacuation. He emphasized that Iran could not get nuclear weapons.
When asked by journalists whether Israel can eliminate the Iranian nuclear program without the help of the US, he replied that it “does not matter, because something will happen”. He also said that Iran wants to include a war -ending arrangement and announced that “we will do something”.
The day before, about 30 air tankers were sent to Europe to support the “defensive military operations” in the region.
Analysts indicate that oil markets remain restless due to the escalation of Israel's conflict with Iran, which could possibly affect the disturbance of oil from this region.
Israel began massive attacks on Iran last week from Thursday to Friday, claiming that their goal is nuclear and military facilities. Israeli Prime Minister Benjamin Netanyahu said that day that Iran has enough enriched uranium to build nine atomic bombs.
Iran called the attack “Declaration of War” and responded with air rockets on Israel. On the other hand, there were reports on Monday Iran began to signal that he wanted to end warfare and return to negotiations on the nuclear program – Wall Street Journal wrote on Monday, citing sources in the Middle East and Europe. Tehran sends signals to the USA and Israel by Arab intermediaries.
“This is a restless market, but it still does not include the worst scenarios, i.e. disturbances in oil supply,” says Vandana Hari from the consulting company Vanda Insights.
“Oil and sea transport of raw material are treated as the greatest risk,” indicates in the market note of Vishn Vararathan, head of macroeconomics at Asia at Mizuho Bank Ltd.
“If the Strait of the Ormuz was locking, the doubling of crude oil prices would not be something unusual,” he adds. Polish experts also pointed out that in such conditions the prices of this raw material could jump to $ 120. for a barrel.
On Saturday, the Iranian agency Irinn said that the Iranian authorities are seriously considering closing the strategic Strait of the Ormuz.
The strait lying between Iran and Oman is crucial for the transport of crude oil.
