Crude Oil prices drop slightly after Wednesday’s Increase
WORLD, Oct. 19 – The international market for crude oil has been experiencing some level of uncertainty due to the instability in the Middle East.
The commodity prices are slightly dropping, having risen sharply a day earlier amid worries over Israeli-Hamas fighting in the Middle East spiraling into the wider region.
Crude oil price which both OPEC and Russia has put in so much effort to ensure the it remains relatively favourable to member states,has over the past days been unpredictable.
Brent crude is down 0.5% to $91.06 per barrel after increasing1.8% on Wednesday, while WTI is 0.3% lower at $87.05 per barrel.
The commodity price which analyst said will remain volatile for some while, also raise concern that the recent explosion at a hospital in Gaza would only add to instability in the region.
According to ING analysts, who said that noting that “Iran has already called on Islamic oil producers to impose an oil embargo against Israel amid the wider conflict.” However, Israel isn’t a large importer of oil and would likely be able to find alternative sources quickly, the analyst adds.
The middle East conflict is a big source of worry for major players in the oil sector. Some International Operators have shut down operation on the request of Israel. With most Arab countries watching the conflict with keen interest, the level of uncertainty keep growing.
