Finally, Brent and WTI Futures Retreat

by Mohammed Marzuq, KPI Bridge Oil
Thursday May 7, 2015

Finally crude futures retreated today after both Brent and WTI soared to the highest levels we have seen in the new year.

For the last 6 weeks crude has risen nearly 20 percent as speculators driving the market were taking long positions.

Much of the market speculation has been overdone and it was quite nice to see levels soften.

The world is still oversupplied with crude and the fact that we are nearing the closing date of the Iranian nuclear deal seems to have reminded the market that we could fairly soon see as much as an excess of 2 million barrels per day more available in the market.

Brent futures sank more than 3% and settled $65.54, similarly WTI was down nearly $2 to settle at $58.49.

Although the crude futures market softened, we still saw steady prices in the bunker market in the primary ports as suppliers try to defend higher levels.

We still think prices are elevated and urge buyers to keep a close eye on the market as one day does not create a trend.

About KPI Bridge Oil

KPI Bridge Oil is one of the world's leading international bunker broking and trading firms. With a network of offices that covers every major time zone, we have an in-depth knowledge of ports and bunker markets around the world. Our access to real-time market information and long-established credit lines with suppliers means we use our buying power in the right place and at the right time. All this ensures our customers enjoy competitive prices - and on favourable terms.

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