Oil Prices Get Another Boost From Saudi-Yemen Conflict, How Long Will The Rally Last? – By Panos Mourdoukoutas (IB Times) / March 27, 2022
An attack by Yemen’s Houthi rebels on Saudi Arabia’s oil facilities on Friday gave another boost to oil prices as markets tried to digest a new round of sanctions against Russian oil.
The oil market has staged a strong rally in recent months taking WTI crude oil well above the $120 per barrel. Oil prices have been driven higher by strong demand following the end of the pandemic recession and the recovery and tight supply due to production bottlenecks.
Then there’s the Russian-Ukraine war, the U.S.-EU sanctions against Russian oil, and the growing market expectations of supply interruptions due to the war’s lingering.
How long will the rally last? Oil industry analyst Theophanis Matsopoulos doesn’t see the oil market bull running for too long.
