Brent: Crude eases from spike on Iran comments – Danske Bank

Danske Research Team notes Brent crude briefly surged above USD 105 per barrel to its highest level in nearly a month, driven by reduced Strait of Hormuz traffic and hurricane-related supply concerns. The move reversed after President Trump said the US would not attack Iran before midterm elections and as reports suggested China will resume refined fuel exports, leaving Brent near USD 102-103.

Brent retreats after geopolitical repricing

"The initial move higher was a reaction to the sharp drop in Strait of Hormuz traffic following last week's record number of tanker attacks, alongside concerns over potential production disruptions in the US Gulf Coast as Hurricane Isaias approaches."

"In commodities,Brent crude briefly topped USD 105/bbl yesterday, reaching its highest level in almost a month, before easing to around USD 103/bbl overnight after President Trump said the US would not attack Iran before the midterm elections."

"Reports that China is set to resume refined fuel exports in October also helped ease the fuel market."

"Brent is trading at the 102-103 level this morning after having been as high as USD 106 yesterday."

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. Know more.)