On August 29, local time, international oil prices rose by more than 4%. Last week, OPEC’s top producer Saudi Arabia raised the possibility of cutting oil output. Iran’s supplies could increase if it reaches a nuclear deal with the West to reduce its nuclear arsenal, the sources said.
In March, Saudi Arabia’s oil revenues topped $30 billion for the first time. In April, the export value dropped slightly, and in May and June, the export value exceeded the US$30 billion mark. Before the conflict between Russia and Ukraine, Saudi Arabia’s highest monthly oil revenue was only $23 billion.
Oil prices are slowly rising on hopes that OPEC and its allies will cut production to restore market balance and respond to the restart of the Iran nuclear deal,” said Religare Broking, vice president of commodities research.
Earlier, U.S. crude futures fell as low as $90 after Federal Reserve Chairman Jerome Powell vowed to continue sharply tightening monetary policy and warned that interest rates would rise for a long time.
Oil prices may plummet to $80 a barrel this year,” said Neal Dingmann, managing director of energy research at Truist securities. However, recently, due to the rising risk of a world recession and news that Iranian crude oil is about to return to the market, world oil prices have dropped from A barrel of $120 a few weeks ago has fallen to around $90 a barrel recently.
Just this past weekend, unrest in the Libyan capital left 32 dead, and there were fears that a full-scale conflict could erupt in Libya, disrupting the Opec country’s crude supplies.