Yesterday we had been witnessing an abrupt slump of Brent: by 8 pm EET quotes already went down to 54.60 US dollars per barrel. This drop was caused by the decision of Iran and EU to start settlement of the nuclear problem of Iran.
One would think, what is the connectin benween oil and uranium enrichment? In this case it is direct: Iran had already accumulated sufficient reserves of crude oil complying to OPEC oil production quotas. Upon fulfilling all nuclear agreements, sanctions will be lifted from Iran and flood of the oil is expected on markets.
Here is a commentary of Alexander Goryachev, an expert of FreshForex company:
"The fact that a new powerful oil player entered the market could be fatal for Brent. Export of Iranian oil will enhance the disbalance between supply and demand on global market even more which will put the pressure on quotations."
Thus, yesterday traders received one more signal of a declining trend of Brent. Market situation can turn any side, but you can always avail from the bonus 35% from FreshForex: it will maintain your account under drawdown and help to get extra profit!Publication source