Market Overview

Brent Slides On Libyan Port Reopening

Share:
Brent Slides On Libyan Port Reopening

Brent crude oil suffered its largest loss in almost a month, bringing it down near $108.

The commodity was steady at $108.31 at 4:30 GMT on Tuesday morning after an increase in Libyan supply was announced.

Reuters reported that Libya’s state-run National Oil Corp said on Monday that it would lift a force majeure from its Zeuitina oil port.

The reopening of this eastern port is the second after the government made a deal with rebels to unblock major terminals after eight months of depressed exports.

Though the markets have responded to the announcement, many analysts see investors as cautious until operations are underway. Libya has been working to reopen its export terminals for some time, and this is not the first time the government has said they would resume production.

See also: 3 Intriguing Canada ETFs For Your Portfolio

The conflict in Ukraine remains a factor for Brent prices, but investors were unconcerned about the effects of new sanctions against Russia on its energy supply. After the tension between Moscow and the West increased over the weekend due to a hostage situation in Ukraine, US officials implemented more sanctions on Russian businesses and individuals with ties to President Vladimir Putin. Despite the escalation, most don’t expect that the conflict will reach a point at which energy or crude is affected.

Meanwhile, US commercial crude stockpiles are expected to have risen 1.9 million barrels in the week ending on April 25, a new high. Last week’s reports showed that crude inventories had grown to 397.7 million barrels, the highest level in more than 30 years.

Posted-In: National Oil Corp Vladimir PutinNews Commodities Forex Global Pre-Market Outlook Markets Best of Benzinga

 

Related Articles (BNO + BROAD)

View Comments and Join the Discussion!
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com