Iran Matches Saudi Oil Discounts in Bear Market for Brent - Bloomberg

Iran Matches Saudi Oil Discounts in Bear Market for Brent - Bloomberg:



"Iran will sell its crude to Asia in November at the biggest discount in almost six years, matching cuts by Saudi Arabia as Brent crude slides deeper into a bear market.



State-run National Iranian Oil Co. cut official selling prices of its crude to buyers in Asia for November, two people with knowledge of the pricing decision said yesterday. The decrease came a week after Saudi Arabia, the world’s largest oil exporter, reduced the price of Arab Light crude for Asia to the lowest since December 2008. Brent crude, the international benchmark, fell to the lowest in almost four years today.



“The timing of Iran’s price cuts makes the price war more and more probable,” Eugen Weinberg, head of commodities research at Commerzbank AG in Frankfurt, said by phone yesterday. “Iran is fully aware of the direction of and the mood in the market. Given that we’ve seen consecutive cuts, this would seem to be some kind of action and reaction.”"



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