Crude oil prices volatile and at risk – London Business News | Londonlovesbusiness.com

Crude oil futures eased on Monday after opening higher and following significant gains last week but remained near two-week highs.

Geopolitical risks could continue to affect the market as traders reassess the impact of current conflicts. As the geopolitical landscape remains uncertain, the risk of supply disruptions could continue to support oil prices, which may result in a bullish outlook for the near term.

Traders are likely to remain cautious, factoring in the heightened risk of further escalation in Eastern Europe and the Middle East as they could significantly impact crude oil supply chains.

Market participants are closely monitoring the ongoing conflict between Ukraine and Russia, as well as the possibility of U.S. sanctions on Iran’s oil exports which could sideline up to one million barrels per day of Iranian oil exports, further tightening the global oil supply. This combination of geopolitical developments suggests a potentially bullish outlook for global crude oil prices in the medium term, as supply disruptions may outweigh demand concerns for a certain time.