|
Trending Topics
|
Why Oil Prices Are Unfazed by the Iranian Military Threat
(Investing.com) Ellen R. Wald - Oil markets have essentially ignored threats in the Persian Gulf. Several factors are involved. Signs that the demand for oil will weaken in the future are mounting and are playing a crucial role in keeping oil prices depressed. Iran hasn't actually done anything (yet) that has impeded or threatened crude oil exports. None of the sabotaged tankers in June were carrying crude oil and the tanker seized by Iran this week was empty. U.S. oil production is a significant force and it is now exporting growing amounts of oil to customers to replace some Middle East oil. This is having a much more significant effect on prices than any event in the Persian Gulf.