• Sign up for the Daily Digest E-mail
  • Facebook
  • Twitter
  • LinkedIn

BOE Report

Sign up
  • Home
  • Headlines
    • Latest Headlines
    • Featured Companies
    • Columns
    • Discussions
  • Well Activity
    • Well Licences
    • Well Activity Map
  • Property Listings
  • Land Sales
  • M&A Activity
    • M&A Database
    • AER Transfers
  • Markets
  • Rig Counts
    • CAOEC Rig Count
    • Baker Hughes Rig Count
    • USA Rig Count
  • Industry Data
    • Canada Oil Market Data
    • Canada NG Market Data
    • USA Market Data
    • Data Downloads
  • Jobs

Oil lower on demand concerns, but new Iran sanctions cap downside

June 17, 20227:25 AM Reuters0 Comments

Sask oil pumpjack

Oil prices edged lower on Friday as demand concerns emerged following interest rate hikes in the week, although new sanctions on Iran capped the downside.

U.S. West Texas Intermediate (WTI) crude futures fell to $115.33 a barrel, down $1.78, or 1.52%. 

CL1! chart by TradingView
Brent crude futures fell $1.20, or 1.01%, to $117.88 a barrel.

If losses hold through the day, Brent crude futures would post their first weekly dip in five weeks, while U.S. crude futures would see their first dip in eight weeks.

“The central banks’ rate hikes are pressuring the oil prices, despite ongoing tight supplies,” said Tina Teng, an analyst at CMC Markets.

Central banks across Europe raised interest rates on Thursday, some by amounts that shocked markets, and hinted at even higher borrowing costs to come to tame soaring inflation that is eroding savings and squeezing corporate profits.

Argentina’s central bank raised its benchmark interest rate by the most in three years on Thursday, as the South American country fights inflation running at over 60%.

Those moves came on the heels of a 75 basis point rate hike this week by the U.S. Federal Reserve, the highest since 1994.

However, investors remained focused on tight supplies after the United States announced new sanctions on Iran.

“The market has been watching negotiations between the West and Iran in anticipation of revival of the nuclear deal in recent months. This brought back into focus the ongoing supply side issues in the market,” ANZ Research analysts said in a note.

The United States on Thursday imposed sanctions on Chinese and Emirati companies and a network of Iranian firms that help export Iran’s petrochemicals, a step that may aim to raise pressure on Tehran to revive the 2015 Iran nuclear deal.

Follow the BOE Report
  • Facebook
  • Twitter
  • LinkedIn

Sign up for the BOE Report Daily Digest E-mail

Successfully subscribed

Latest Headlines
  • Higgs says New Brunswick LNG facility could help Europe cut energy ties with Russia
  • What slowdown? Canada’s economy to top G7 on high oil, crop prices
  • Canada in talks with Europe about east coast energy exports
  • Column: Oil market confronts U.S. and EU policymakers with unpalatable choices
  • Oil prices rise for fourth day on supply worries

Return to Home
Alberta Gas
CAD/GJ
Market Data by TradingView

    Report Error





    Note: The page you are currently on will be sent with your report. If this report is about a different page, please specify.

    About
    • About BOEReport.com
    • In the News
    • Terms of Use
    • Privacy Policy
    • Editorial Policy
    Resources
    • App
    • Widgets
    • Notifications
    • Daily Digest E-mail
    Get In Touch
    • Advertise
    • Post a Job
    • Contribute
    • Contact
    • Report Error
    Featured In
    • CamTrader
    • Rigger Talk
    Data Partner
    • Foxterra
    BOE Network
    © 2022 Grobes Media Inc.