Share This Article

Facebook LinkedIn
Twitter Reddit
Print Email
Pinterest Gmail
Yahoo
Money Morning
×
Login Archives Your Team About Us FAQ
[mmpazkzone name="azk58712-mobile-nav" network="9794" site="307044" id="222451" type="5"]
  • Subscribe
Enter stock ticker or keyword
×
[mmpazkzone name="azk58712-mobile-sticky" network="9794" site="307044" id="222451" type="5"]
Join 100,000+ Like-Minded Investors Today
Twitter
Tags: oil

Here's Why WTI Crude Oil Prices Are Down Today

By Alex McGuire, Associate Editor, Money Morning • @AlexMcGuire92 • June 19, 2015

Start the conversation

Leave a Reply Click here to cancel reply.

You must be logged in to post a comment.

why wti crude oil prices are down todayWhy WTI crude oil prices are down today: Oil prices fell below $60 a barrel today (Friday) as Greek debt negotiations and a looming deadline in Iran's nuclear deal put pressure on the energy market.

By 1:40 p.m., WTI crude oil prices dropped 2.05% to $59.21 a barrel. The U.S. benchmark is down 0.4% this week and 1.6% this month.

Brent crude oil prices suffered even more. The international benchmark fell 2.34% to $63.47 a barrel. Brent has tumbled 1.8% since Monday and 3.8% since June 1.

Here's a breakdown of why WTI crude oil prices are down today...

Why WTI Crude Oil Prices Are Down Today

Investors are uncertain if there will be a Greek default soon. A default could hurt oil demand across Europe as tension increases regarding Greek Eurozone membership.

"Most of the European oil demand growth this year is coming from the southern countries of Europe," said Olivier Jakob, managing editor of Swiss energy newsletter Petromatrix, to The Wall Street Journal. "Therefore, if there was a Greek default and a contagion of a risk premium to other southern European countries, it could have a negative impact on European oil demand."

Meanwhile, traders are anticipating the June 30 deadline for a potential Iranian nuclear deal. If a deal is reached, it will ease international sanctions against the country and release more Iranian oil into the already oversupplied market.

But according to Money Morning Global Energy Strategist Dr. Kent Moors, the agreement won't last.

And even if it does, it won't affect global oil prices anytime soon...

Why WTI Crude Oil Prices Won't Be Depressed by the Iran Deal

According to Moors, there's little chance the deal will happen.

On March 9, 47 U.S. senators wrote a letter to Iranian leaders disparaging the nuclear deal and explaining how it could be reversed by a future Republican administration "with the stroke of a pen."

Now, Iran is backed against a wall. The nation doesn't know who to trust. That means they have no help getting their oil industry off the ground.

"Even with a deal now, it will take a very long time before that oil gets to the market," Moors explained. "You've got a situation where the Iranian infrastructure is disastrous and it's going to take a while to rebuild."

[epom key="ddec3ef33420ef7c9964a4695c349764" redirect="" sourceid="" imported="false"]

"So you're not going to get the technology; you're not going to get what you need to move oil."

Moors recently sat down for an exclusive interview with Money Morning to tell us about his "ground level" view of the real impact the Iran deal will have on the oil market.

Get the full interview here...

Don't miss any WTI crude oil price updates - follow us on Twitter at @AlexMcGuire92 and @moneymorning.

Like us on Facebook: Money Morning

Related Articles:

  • The Wall Street Journal: Oil Prices Fall on Firming U.S. Dollar
ABOUT MONEY MORNING

Money Morning gives you access to a team of market experts with more than 250 years of combined investing experience – for free. Our experts – who have appeared on FOXBusiness, CNBC, NPR, and BloombergTV – deliver daily investing tips and stock picks, provide analysis with actions to take, and answer your biggest market questions. Our goal is to help our millions of e-newsletter subscribers and Moneymorning.com visitors become smarter, more confident investors.

QUICK LINKS
About Us How Money Morning Works FAQs Contact Us Search Article Archive Your Team Text Messaging Terms of Use
TOPICS
AI Investing Best Stocks to Buy Stock Forecasts Stocks to Sell Now Technology Stocks Best REITs to Buy Now IPO Stocks Penny Stocks Dividend Stocks Cryptocurrencies How to Trade Options Best Trades to Make Now Options Trading Strategies Weekly Trade Recommendations Income Investing Guide Retirement Articles Special Investing Reports Meet Our Experts
PREMIUM SERVICES
Money Map Press Home Fast Fortune Club Microcurrency Trader Rocket Wealth Initiative Quantum Data Profits Darknet Alpha Accelerators Brutus Alerts Resource Traders Alliance Rob Roy Trader Long-Term Equity Profits

© 2023 Money Morning All Rights Reserved. Protected by copyright of the United States and international treaties. Any reproduction, copying, or redistribution (electronic or otherwise, including the world wide web), of content from this webpage, in whole or in part, is strictly prohibited without the express written permission of Money Morning.

Address: 1125 N Charles St. | Baltimore, MD, 21201 | USA | Phone: 888.384.8339 | Disclaimer | Sitemap | Privacy Policy | Whitelist Us | Do Not Sell or Share My Personal Information