Macquarie Warns of Oil Glut Risk as Midterms Loom

Macquarie analysts are warning of an oil glut risk due to the potential for a US-Iran deal before the midterm elections. According to Macquarie's energy strategist Vikas Dwivedi, a de-escalation in the Iran conflict is weeks away, not months.

The looming deadline for the midterms has created pressure on Washington to reach an agreement with Iran, which could lead to increased oil production and potentially tip the market back into oversupply. Macquarie believes that this situation may arise before the end of the year.