Oil Prices Stable on Wednesday

by George Belekos, KPI Bridge Oil
Wednesday April 16, 2014

A little Yin and Yang in the market today as Brent closed up $0.24 bbl and WTI up $0.01 bbl. 

The stability was caused by geo-political concerns causing upward pressure and a surge in inventories in the United States providing the downward pressure. 

The situation in the Ukraine is once again coming to the forefront as the country took their first military action against Russia. 

Meanwhile Russia sits with 40,000 soldiers just over the border awaiting orders to enter the country. 

All it takes is a spark to set this off and civil war to start.

The talking heads feel that there is a 10% premium to crude prices due to this conflict. 

The problem is if it escalates it would not be unreasonable to expect prices to move up another 10%. 

Despite the stability at the end of the day, intraday was marked with volatility in bunker prices as the markets danced about. Expectations are for firm markets till after the holiday.

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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