TechFlow News, May 20 (Wednesday): Both U.S. and Brent crude oil prices fell more than 2%, as U.S. President Donald Trump again claimed the war with Iran would soon end. However, investors remain cautious about the outcome of peace talks due to ongoing supply disruptions in the Middle East.
Emril Jamil, Senior Oil Research Analyst at London Stock Exchange Group, stated that benchmark oil prices softened amid market assessments of the geopolitical situation and the possibility of a deal. Yet even if an agreement is reached, oil prices may still have some upside potential, as supply is unlikely to immediately rebound to pre-war levels.
Toshitaka Tazawa, Analyst at Fujitomi Securities, noted that given the U.S.’s shifting stance on a daily basis, investors are closely watching whether the U.S. and Iran can genuinely find common ground and reach a peace agreement. Considering the possibility of renewed U.S. military strikes against Iran—and the fact that even a peace agreement would not lead to an immediate return of crude oil supply to pre-war levels—oil prices may remain elevated. (Jinshi)
