Crude Markets Move Up Over Concerns of Middle East Supply Disruptions

by Nick Bond, KPI Bridge Oil
Tuesday September 3, 2013

Crude markets moved up today as concerns about supply disruptions in the Middle East were renewed following U.S. lawmakers' support of President Obama's call for action in Syria.

Prices moved upwards on fears that if the U.S. takes action in Syria, the violence will spill over to surrounding countries, and inhibit oil production and exports.

Brent found some extra support today, as a pipeline from northern Iraq to the Turkish port of Ceyhan was halted.

Extra support in WTI's move came today as the Institute for Supply Management reported that manufacturing activity increased last month, surprising many analysts who expected a small decline.

The reading suggested to many that the U.S. economy is improving and higher crude demand could be following.

Investors will keep their eyes fixed on the situation in Syria, but also now look to this week's EIA inventory report for a look into the supply and demand picture in the U.S.

WTI gained  $0.89 to settle at $108.54/bbl, while Brent gained $1.35, settling at $115.66/bbl. Bunker prices were firm in the primary ports.

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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