Last week, there was an attack by terrorists in Saudi Arabia and that's why the market jumped, but the Saudi authorities were successful in foiling the attack so this calmed the market a bit, prompting traders to have a reason to sell. |
Most of the traders are looking at the Iranian issue over the bearish inventory report. |
Oil may peak during the hurricane season in August or September. Economic growth will add to tightness in supply. |
Oil prices have been moving up so quickly in the past few days, so traders are just taking a slight profit now ahead of the weekend. But gasoline demand is strong and inventories have gone down, so I think prices will keep moving strongly up. |
Oil prices would be pushed up by this kind of pension-fund money. It's a big one we cannot ignore. |
Over the last couple of days prices surged to near-record highs, and so traders are now taking profit ahead of the long weekend. |
People are just waiting for a chance to buy ahead of Christmas. At the US$58 level, it's a good time to buy back. |
People are looking at the inventory data. |
People are looking at the inventory data. But once actual figures are announced, the price may rebound. The market is more focused on political risk like Nigeria and Iran in the medium and longer term. |
People are still watching political risks. |
People are watching the IAEA meeting, but it has already been factored in. We don't expect that Iran would cut production or exports. |
People don't like to take any position before Christmas. Most people are thinking prices will be sustained at this level for the time being. |
Production in the Gulf has risen dramatically and refinery input has also risen, these are good selling factors. |
Stock levels were the highlight of the week, and should remain so next week -- the recovery we are seeing now is a buy-back ahead of the U.S. public holiday on Monday. |
Supplies of crude oil and oil products are less than normal, which will bring a much tighter market in winter. |