2018 Brent crude oil volatility: September outlook
The Dated Brent crude oil market was oversupplied in mid-August, capping prices; however, there were signs of improvement in H2 August with the Far East arbitrage pushing Brent prices up.
Globally, market players remain focused on geopolitical risk as escalating tensions between the US and China, imminent US sanctions against Iran and US President Donald Trump’s threats to leave the WTO – and imposing $200 billion worth of new tariffs on Chinese imports – look set to increase price volatility.
- Geopolitical risk remains high
- Brent prices to stabilize