Hardly anybody is talking about this. The world's two oil benchmarks are moving in opposite directions. The price of crude in New York is going south, while the price in London is heading north. It's a rare disconnect that can lead directly to profits -
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- Oil Stocks: This Disconnect Spells Even Bigger Profits
- Oil Forecast: The "Syrian Premium" Is Not Temporary
By an apparent agreement to place its chemical weapons under international control, Syria seems to have dodged an imminent American military attack.
Yet even as the world takes a step back from the brink, three critical questions still remain:
1. Will Syrian President Bashar Assad hand over all of his chemical weapons?
2. Will the proposed international control mechanisms satisfy Washington?
3. Will the final result contained in the U.N. report on the chemical weapons use outside of Damascus alter the outcome?
Of course, until the latest news hit, one result had seemed certain: The global oil market was bracing for higher prices. West Texas Intermediate (WTI) closed at a 28-month high on Friday, while Brent crossed the $116 a barrel level.
Following the agreement, that trend has reversed, sending oil prices in both New York and London lower.
But has this crisis really been defused?