The surge higher in oil is being tempered by a move close to the 200-day moving average (blue line) at $68.45 as well. Overnight, we saw oil rally to its highest since April as the US called to move personnel from the Middle East here. The tensions ramped higher with word being that Israel was ready to launch a full operation into Iran. Since then, things have calmed down a little as US and Iran are set to talk again on Sunday.
As tensions are high, the fear is that Iran might retaliate on any attacks by striking US sites in Iraq. As added context, Iraq is the second-largest producer of crude oil in OPEC - just behind Saudi Arabia.
It's a tricky situation as Iran has been threatening striking US bases in the region with talks going nowhere. And for someone who loves to boast about his wins, Trump saying this is a bit of a warning signal.
At the end of the day, we'll have to wait and see. But keep an eye out on the headlines here in the meantime. Despite mostly a focus on trade, the developments in the Middle East are also going to matter quite a bit for broader market sentiment before the weekend in the next two days.
This article was written by Justin Low at www.forexlive.com. Read More Details
Finally We wish PressBee provided you with enough information of ( Oil jump eases a little as traders deliberate Middle East tensions )
Also on site :
- '80s Metal Legend Celebrates the Legacy of Brian Wilson: 'A Huge Inspiration'
- Four dead and two missing after San Antonio drenched with strongest rains in more than a decade
- Iconic Rocker, 60, Makes Bold Statement About Having a 'Friend With Benefits'