Brent Crude Oil Price Surges Amid Escalating Tensions Between US and Iran
The Brent crude oil price has been rising in recent days, despite the US and other G7 countries announcing a plan to release 100 million barrels of oil from their strategic petroleum reserves. The move was intended to alleviate pressure on global markets and reduce prices, but it appears to have had little impact on the rising cost of oil.
The escalation of tensions between the US and Iran is contributing to the increase in oil prices. The US has sent a new aircraft carrier to the Middle East, and President Trump has warned that he may need to escalate further after the US election. Meanwhile, Iran is seen as likely to retaliate against US targets in the region.
Additionally, there are concerns about ongoing conflicts in Russia and Saudi Arabia, including attacks on refineries and other infrastructure. These disruptions could delay the return of these facilities to operation, even after the fighting ends.
The technicals suggest that Brent crude oil price will continue rising in the coming days, with a next upside target of ~$109.96 and potentially as high as $115.