Note

WTI depreciates below $68.50, downside appears limited due to rising geopolitical tensions

· Views 9



  • WTI may find support as traders assess reports that Israel and Hezbollah exchanged accusations of breaching the ceasefire agreement.
  • Russian President Putin warned of a possible nuclear-capable ballistic missile strike on Ukraine.
  • Traders seek clarity on the production strategy of the OPEC at the rescheduled meeting on December 5.

West Texas Intermediate (WTI) Oil price retraces its recent gains, trading around $68.40 per barrel during the early European hours on Friday. However, this downside of the crude Oil prices could be restrained as markets assess reports that Israel and Hezbollah exchanged accusations of breaching the ceasefire agreement.

Additionally, reports suggest that Russian President Vladimir Putin warned of a possible nuclear-capable ballistic missile strike on Ukraine, following Moscow's recent large-scale attacks on key energy infrastructure.

Traders remained cautious, seeking clarity on the production strategy of the Organization of the Petroleum Exporting Countries and its allies (OPEC ) after a four-day postponement of a key meeting. At the rescheduled meeting on December 5, the alliance will deliberate on whether to proceed with restoring supplies or extend production cuts into 2025 to avoid oversupplying the global market.

Markets are keeping a close watch on upcoming US data for insights into the Federal Reserve's (Fed) monetary policy outlook. Rising borrowing costs in the United States (US), the world’s largest Oil consumer, weigh on economic activity, subsequently reducing Oil demand.



Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.

FOLLOWME Trading Community Website: https://www.followme.com

If you like, reward to support.
avatar

Hot

No comment on record. Start new comment.