Oil prices decreased by 3 %, as Iran stopped Israel from fears of supply, and the Strait of closing hormonal

Future oil contracts fell sharply on Tuesday, when the ceasefire in Iran, Israel, began to calm investors’ concerns about exhibition and shipping disorders in the oil -rich Middle East.

ICE BRNT contract was traded with August Exposition at $ 69.13 a barrel at 10:19 am London time, a 3.29 % decrease from the previous session. The NYMEX WTI contract in the front month was $ 66.25 a barrel, 3.3 % less than Monday’s settlement.

Oil prices added approximately 10 % during the beginning of mid -June of the hostilities of Israel, Iran, which has exacerbated in recent days by direct military participation and the retaliation of Iran against an American base in Qatar. Raw futures declined after US President Donald Trump announced overnightly about the ceasefire on Iran and Israel, despite the ongoing questions about implementation and the future of Tehran’s nuclear program-the main reason for the recent hostilities mentioned by Israel and the United States

In danger throughout the attacks, the offer in Iran – which produced 3.3 million barrels per day in May, was the monthly oil market report in OPEC issued in June, which cited independent sources – and the wider Middle East region, if the conflict erupted.

Throughout the hostilities, investors also saw whether Iran will continue to close the Strait of Hormuz, which connects the Persian Gulf and the Gulf of Oman – a The main road for Iranian and other Middle East shipmentsIncluding the largest raw exporters in the world in the Kingdom of Saudi Arabia, the United Arab Emirates, Iraq, Kuwait and Bahrain.

On Sunday, the Iranian parliament approved the closure of the Strait of Hormuz, according to a report issued by the state -owned press television in Iran that CNBC was unable to independently verify it, although the final decision is resting with the country’s National Security Council.

“The potential closure of the hormone strait is still the danger of the tail in our view, but we confirm that oil prices will exceed $ 100 B in such a scenario, due to limited ways to exceed the narrow clip and restrictions that it will pose to market the reserve capacity,” Barclays analysts said on Tuesday.

They also added that oil prices were pressured “because the threat of the broader regional fire was not achieved despite the American action against Iranian nuclear sites.”

Amid the danger to its provision, the International Energy Agency previously reassured that it has 1.2 billion barrels of emergency stocks that it can resort to. As part of the strategy that was identified before the escalation of Iran and Israel, some OPEC+ producers also influenced production and have additional backup sizes that can be brought online.