Quote on Crude Oil Prices by N S Ramaswamy, Head of Commodity & CRM at Ventura
Below the Quote on Crude Oil Prices by N S Ramaswamy, Head of Commodity & CRM at Ventura
Brent crude November futures have risen back above $106/barrel, while WTI is trading near $94/barrel, amid renewed concerns over prolonged disruptions to oil supplies from the Middle East. Market sentiment has been supported by uncertainty around the Strait of Hormuz after U.S. President Donald Trump rejected Iran’s proposal to reopen the key shipping route, while Iran continues to await a clear U.S. response. Meanwhile, tensions between Saudi Arabia and the Houthis remain elevated, with Saudi Arabia intercepting drones amid renewed security concerns. The escalation has raised concerns over the potential duration of supply disruptions, keeping a geopolitical risk premium in crude prices. Talks between the U.S. and Iran are expected to continue this week, with further negotiations potentially taking place through mediators. In the near term, crude oil prices will remain sensitive to war-related developments. Further escalation could push MCX Crude and Brent higher, while signs of stability could erode the geopolitical risk premium. MCX Crude: Immediate resistance is placed at 9,150, 9,500 and 10,000, while support is seen near 8,800 and 8,500. Brent Crude: Immediate resistance is placed at 108–109. A sustained break above this zone could open the way towards 112 and 115. Immediate support is seen at 104, 101 and 97. WTI Crude: Immediate resistance is placed at 96, 100 and 103, while support is seen near 92 and 88.
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