Crude Benchmarks Drop Over 4%

by Ship & Bunker News Team
Tuesday October 23, 2018

Crude prices took a dive today with both key benchmarks falling more than 4%.

Brent went as low as $75.88/bbl before recovering to $76.75 during the start of morning trade in Asia, white WTI was down at a two-month low of $65.74/bbl before ending Tuesday's session down 4.2%  at $66.43/bbl.

With U.S. sanctions on Iranian oil set to begin on November 4, Saudi Arabia today reiterated its message that demand for crude will be met, with Saudi Energy Minister Khalid al-Falih adding that the oil market was in a "good place".

"We will decide if there are any disruptions from supply, especially with the Iran sanctions looming. Then we will continue with the mindset we have now, which is to meet any demand that materializes to ensure customers are satisfied," he was quoted by Reuters as saying.

It was also business as usual from Iran, with oil minister Bijan Zanganeh reiterating his message that Washington would fail to achieve its goal of stopping his country's oil exports.

"As long as America targets Iran, one of the biggest crude producers, with sanctions, the volatility in the oil market will continue," Zanganeh was quoted as saying.

"Iranian oil exports cannot be stopped."