Oil prices have overcome tensions in the Middle East
Mr. Choeib Boutamine
May 7, 2024
In an article published by CNN-business-arabic, energy expert and CEO of Ranadrill Mr. Choeib Boutamine says that the drop in global oil prices from $89 to $83 per barrel is not directly linked to reaching an agreement between the Palestinians and the Israelis. He insists, however, that other factors had a very significant impact on the market, including the rise in crude oil inventories in the USA to their highest level since June of last year.
The CEO of Ranadrill stresses that geopolitical tensions do affect oil prices, but the critical situation that the world’s largest economies are going through has been a force to curb the rise in oil prices.
Mr. Boutamine says that since August 2022, there have been several crises around the world, notably the war in Ukraine, the ongoing conflict in the Palestinian territories, Bab al-Mandab tensions, and mutual attacks between Iran and Israel. However, oil prices have fluctuated between $75 and $93 at most, thus, geopolitical pressures do not impact the oil market as much as the global economic situation does.
The CEO of Ranadrill believes that the rise in oil prices in the upcoming period depends primarily on the decision of the OPEC+ alliance during the next meeting.
