For the second consecutive month, Saudi Arabia, the largest oil exporter in the world, is about to increase crude oil prices for its Asian consumers.
September prices should reach heights of five months, driven by the limited offer and high demand, according to a Reuters report.
According to a Reuters survey, the official sale price of Arab Light Brude, a flagship product, is expected to increase by $ 1.05 by $ 1.05 in September compared to August.
This would place the price between $ 3.10 and $ 3.25 per barrel, marking a five -month summit.
The survey said that the September OSPs for additional Arab notes, the Arab environment and the Arab heavy grades should increase a barrel from 80 to 95 cents compared to August.
These forecasts are strongly supported by a substantial increase of $ 1.11 per barrel in the event of a cash Dubai bonus to the exchanges observed this month compared to the previous month.
This upward trend means solid market performance and, if it is sustained, would establish a second consecutive month of significant gains.
Market conditions
Copy the link to the section
The constant increase in this premium indicates growing demand and market conditions favorable for Dubai crude, suggesting a positive perspective for future prices and trading.
In August, Saudi Arabia implemented a significant price increase for its light Arab light oil, which sticks it by $ 1 per barrel for its crucial Asian and European markets.
This decision occurred in the heels of a conflict set at 12 days between Iran and Israel, a geopolitical event which considerably amplified anxieties within the global oil market.
The direct consequence of this conflict was an increase in fears concerning the security of oil exports and maritime shipping routes, in particular these critical routes in the Middle East.
This increased uncertainty has led to a brief but significant rise in oil prices, reflecting immediate market reactions to the risk of offer received.
The increase in prices of Saudi Arabia can be interpreted as a strategic response to capitalize on these high conditions of the market, aimed at maximizing income during a period of constrained perception of the supply and increased demand.
This decision highlights the influential role of geopolitical stability, or its absence, in the formation of international oil pricing strategies and the global energy market dynamics.
Request
Copy the link to the section
The occasional references remained high due to the increase in the interior consumption of crude in the Middle East during the summer, which has restricted exports and robust consumption in Asia.
After an increase in production by state refiners in July, China, the world’s main consumer, has increased demand.
This increase in production aimed at meeting the increase in increased fuel scheduled for the third quarter and to reconstruct the reserves of diesel and seriously low petrol, which have reached multi -year stockings.
The organization of oil exporting countries and allies should approve an increase in additional production of 548,000 barrels per day in September.
The decision should be made at their meeting later on Monday.
Generally announced towards the fifth of each month, Saudi gross OSP influence price trends for Iranian, Kuwaitian and Iraqi crude.
This affects around 9 million barrels per day of crude oil for Asia.
Saudi Aramco, the state oil giant, determines its crude prices by considering customer recommendations and evaluating the variation in the value of its oil during the previous month, which is calculated using the yields and prices of the products.
