EUR/USD 1.15674
-0.241%
Gold 4329.32
-0.439%
Oil 99.019
1.956%
USD/JPY 154.050
0.239%
GBP/USD 1.35046
-0.158%
GBP/JPY 208.043
0.080%
Browse More
  • English
  • 简体中文
  • 繁體中文
  • Tiếng Việt
  • ไทย
  • Indonesia
Subscribe
Real-time News
September 14th - According to the Financial Times, soaring oil prices will prompt a renewed debate within the Bank of England regarding whether to raise interest rates before the end of the year. Policymakers are preparing to meet later this week. The Monetary Policy Committee will convene to discuss key interest rates and the pace of balance sheet reduction. Meanwhile, a bond market sell-off is putting increasing pressure on Prime Minister Andy Burnhams government, with the budget due on October 28th. Market pricing indicates less than a one-in-three chance of a rate hike at Thursdays September policy meeting. However, renewed escalation of the Middle East conflict driving up energy prices, accelerating inflation, and relatively robust UK GDP growth are likely to intensify the internal debate within the Bank of England about how long the key interest rate can be maintained at 3.75%. Deutsche Bank economist Sanjay Raja stated, "The Bank of Englands patience may be running out, and the reasons for remaining on hold are slowly waning."On September 14th, according to The Daily Telegraph, former British Prime Minister Boris Johnson was traveling on a train from Ukraine to Poland when a Russian drone attacked a nearby railway line. Johnson was reportedly unharmed. According to the Ukrainian state-owned railway company Ukrzaliznytsia, former CIA Director David Petraeus was also on another train at the station where the attack occurred. Former Swedish Prime Minister Carl Bildt was also on the private train, traveling with other European diplomats. He stated that they were informed of the Russian drone attack on the following train. Ukrainian authorities stated that the attacked train was carrying 206 passengers. According to Ukrainian railway officials, the attack site was only 2 kilometers from the Polish border. This has raised concerns that Russian attacks are increasingly approaching NATO territory.September 14 - According to Reuters, Omans Energy Minister stated, "The Strait of Hormuz will be open. The current situation is likely only short-term. I am pleased that Oman can continue to produce oil and gas. Soaring oil and liquefied natural gas prices are unsustainable for everyone. The situation should stabilize in the medium term. We need to diversify export routes and identify alternative export options, whether through Oman or Yemen."Omans Energy Minister: We need to diversify export routes and find alternative export options, whether via Oman or Yemen.Omans Energy Minister: The situation should stabilize in the medium term.

WTI price falls below the $76 mark amid altering financial dynamics and global growth concerns

Alina Haynes

Mar 14, 2023 11:40

截屏2023-01-13 下午5.17.06.png

 

The West Texas Intermediate (WTI) price is unchanged on Tuesday amid a weaker US Dollar and muted risk sentiment. WTI fell to a low of $72.31 on Monday as a result of a strong risk-off environment sparked by the repercussions from Silicon Valley Bank (SVB) and Signature Banks. Since then, the WTI price has risen significantly as a result of the Federal Reserve's plan to intervene. After reaching a peak of approximately $76 on Monday, the WTI price retreated as the dynamics of the US Dollar shifted.

 

The financial system is being harmed by rising borrowing costs around the world and growth concerns are being raised. The WTI price is in a corrective decline as the narrative of China's reopening does not appear optimistic, as the country has lowered its growth forecast to 5.0%.

 

The SVB debacle exacerbates global growth concerns, as it is interpreted as the first of many financial system dings. Due to rising financing costs, businesses are struggling to make their repayments, which will eventually result in a decline in demand.

 

Despite tightened production and numerous voluntary cuts from the Organization of the Petroleum Exporting Countries (OPEC), the WTI price is struggling to surpass $80.

 

Oil prices are influenced by a number of variables, including the US dollar, inflation, OPEC, and global growth concerns. Considering the aforementioned factors, it is difficult to rationalize the directional nature of oil prices, but it appears that the oil market is primarily driven by development concerns.

 

Since these nations are struggling to maintain oil prices above the desired $80 mark, it will also be crucial to monitor the OPEC position on reduced oil prices.

Suggestion