Source: ForexYard
Crude Oil prices remain high even though we did not see too much movement throughout March.The main issue affecting crude oil prices are the tensions between Iran and the West,which to this day remain all but over.
The global oil supply could be affected due to the recent sanctions taken on by Iran,as a recent report suggests oil exports from Iran will drop 300,000 barrels per day.
In regards to the sanctions pulled by Iran, Saudi Arabian officials are claiming that there is a strong possibility that they will increase its oil production by 25% to help ease the markets if need be.
This news coming out of Saudi Arabia will solely depend on the situation between Iran and the West. If tension rises even further, there’s a strong possibility that the Saudi government will go through with increasing their oil production by the suggested 25%.
This week, there are a number of reports to be published that could possibly affect the price of Crude.
Reports such as the U.S pending home sales,consumer confidence report,U.S,Canada and GB GDP, Chinas’ manufacturing PMI, U,S core durable goods and the U.S Jobless Claims Update.
If we see positive outcomes from the majority of the U.S reports as well as indications of growth, we could see crude oil strengthen as a result. Also, if certain Major currencies such as the Euro or Aussie dollar gain over the Greenback it may positively affect crude oil prices.
Forex Market Analysis provided by ForexYard.
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