Commodities
Saudi Pipeline Outage Threatens Oil Prices
The ongoing pipeline outage in Saudi Arabia has raised concerns about oil supply and prices. The long-term impact of this event may be substantial, potentially taking up to 4% of the world's oil supply off the market.
A further attack or larger conflict in the region could push oil prices even higher, while a speedy pipeline resumption would alleviate supply issues and bring prices down.
The WTI crude oil price has been on an upward trajectory, breaking above $104 and targeting the $110 area. The 50-day SMA remains above the 200-day SMA, indicating positive price action in the short term.