22.06.2015 - Sanctions against Iran will be in the focus of investors before the end of the month
The price of Light Sweet crude oil continues to move within the range of 59,25-61,70. According to the news, the number of short and long positions in crude oil in the US fell during last weeks, investors are waiting for the results of negotiations on Iran's nuclear program. The Islamic republic passed a law that prohibits to let international inspectors to visit military facilities and this fact increase doubts on the lifting of sanctions against Iran. It is worth noting that in case of the abolition of restrictions on oil exports, the current surplus of oil on the market, which is about 1.5 million barrels a day may rise by 0.5-1.0 million barrels in 2016. We expect the growth of speculation before the talks, which will take place on 30 June. Our medium-term outlook for oil remains negative.