Oil Price Seen Rising Faster Than Market Shows on Iraq - Bloomberg

Oil Price Seen Rising Faster Than Market Shows on Iraq - Bloomberg:



"The worsening conflict in Iraq poses a bigger risk to long-term oil prices than traders anticipate, according to banks from Citigroup Inc. and Bank of America Corp.



Brent crude contracts for December 2018 cost $15.26 a barrel less than August, a spread that’s widened by 9.9 percent since the end of May. Violence in Iraq is the biggest risk to new supply this decade from any nation in the Organization of Petroleum Exporting Countries, the International Energy Agency said June 13. 




While fighters from the Islamic State in Iraq and the Levant have seized cities north of Baghdad, the majority of oil assets are in the south and east. Still, having the al-Qaeda splinter group within miles of the nation’s capital threatens to derail plans to increase production."



'via Blog this'