23 Jun 2014
Oil price should give up most of its recent gains in the weeks ahead - Commerzbank
FXStreet (Córdoba) - Carsten Fritsch, analyst at Commerzbank recently commented that recent oil prices rise due to Iraq concerns is likely to be only to be a temporary phenomenon.
Key Quotes
“The advance of Sunni extremists in northern Iraq has recently caused the price of Brent
oil to rise sharply. But the concerns about supply losses are exaggerated, as there are no
problems in southern Iraq, which is more important for the country’s oil production”.
“As a consequence, the oil price should give up most of its recent gains in the weeks ahead”.
“However, in the coming years, Iraq’s oil production will probably rise less quickly than
hitherto expected. This argues for higher oil prices on a long-term perspective”.
Key Quotes
“The advance of Sunni extremists in northern Iraq has recently caused the price of Brent
oil to rise sharply. But the concerns about supply losses are exaggerated, as there are no
problems in southern Iraq, which is more important for the country’s oil production”.
“As a consequence, the oil price should give up most of its recent gains in the weeks ahead”.
“However, in the coming years, Iraq’s oil production will probably rise less quickly than
hitherto expected. This argues for higher oil prices on a long-term perspective”.