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Crude Oil Futures Tick Up

Crude Oil Futures Tick UpCrude Oil Futures Tick Up

Crude oil futures were marginally higher during mid-morning trade in Asia Monday in light of ongoing trade and geopolitical uncertainties, and as market participants look for fresh cues to provide direction.
On Monday, Brent November crude futures inched 9 cents per barrel (0.15%) higher from Friday's settle to $62 per barrel, while the front-month New York Mercantile Exchange November light sweet crude futures contract was up 14 cents per barrel (0.25%) at $56.05 per barrel,  news outlets reported.
Geopolitical development in the Middle East remains uncertain, causing some volatility in crude prices, analysts said.
"Political and trade uncertainty continue to simmer in the background, but Saudi Arabia's announcement of a partial ceasefire in Yemen and Iran's release of a British oil tanker were welcome developments," analysts from ANZ Research team which provides market-leading insights on regional and global economies, financial and commodity markets  said in a note Monday.
According to media reports on Friday, Saudi Arabia had agreed to partial ceasefire in Yemen, bringing some hope of easing tensions in the Middle East, said analysts.
Houthi fighters in Yemen claimed responsibility for the September 14 attack on Saudi Arabia's oil production facilities, which took out 5.7 million bpd of crude from global supply.
Oil field flaring detected in latest satellite imagery indicated that Saudi Arabia's production capacity has returned to normal after the attacks, according to geospatial intelligence firm Ursa Space Systems.
However, some analysts remain wary of continuing geopolitical risk in the region.

 

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