{"id":36886,"date":"2018-08-21T09:33:53","date_gmt":"2018-08-21T14:33:53","guid":{"rendered":"http:\/\/olduvai.ca\/?p=36886"},"modified":"2018-08-21T09:33:53","modified_gmt":"2018-08-21T14:33:53","slug":"oil-markets-are-in-for-a-bumpy-ride","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=36886","title":{"rendered":"Oil Markets Are In For A Bumpy Ride"},"content":{"rendered":"

Oil Markets Are In For A Bumpy Ride<\/a><\/h3>\n\"Oil<\/picture>\n
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The always-volatile oil market is set for even more volatility over the next two years as investors and speculators try to make sense of the conflicting market forces determining the pace of demand growth and global oil supply.<\/p>\n

Over the past month, the two key themes have been how much Iranian oil will come off the oil market from U.S. sanctions in November, and how much demand growth could suffer with the trade wars. More recently, another theme is the emerging markets turmoil following Turkey\u2019s crisis. Throw in all the new and much stricter International Maritime Organization (IMO) regulations<\/a> on sulfur fuel oil requirements from 2020 that are expected to upend the refining and shipping markets, and oil prices are set for wild swings<\/a>, industry executives and analysts say.<\/p>\n

The severe IMO restrictions on fuel oil\u2019s sulfur content\u2014aimed at reducing emissions\u2014will drive increased demand for middle distillates such as diesel and marine gasoil, which in turn will push up demand for crude oil, Morgan Stanley analysts say. This would boost crude oil demand by additional 1.5 million bpd, potentially sending oil prices to $90 a barrel<\/a> in 2020, according to Morgan Stanley.<\/p>\n

But before the 2020 regulation, analysts and investors are closely watching two currently unfolding developments\u2014the sanctions on Iran\u2019s oil and possibly weakening global oil demand growth\u2014the main bullish and bearish factors, respectively, in the market right now.<\/p>\n

\u201cWith new sanctions coming into play and also the IMO 2020, we see there is more volatility and therefore more opportunities to trade. So, we see our customers taking, slowly but surely, positions for that to happen,\u201d Eelco Hoekstra, chief executive at independent tank storage company Vopak, told CNBC on Friday.<\/p>\n<\/div>\n

\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"

Oil Markets Are In For A Bumpy Ride The always-volatile oil market is set for even more volatility over the next two years as investors and speculators try to make sense of the conflicting market forces determining the pace of demand growth and global oil supply. Over the past month, the two key themes have […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2,3],"tags":[2245,5332,14603,2927,2773],"class_list":["post-36886","post","type-post","status-publish","format-standard","hentry","category-economics","category-energy-2","tag-oil-market","tag-oilprice-com","tag-tsvetana-paraskova","tag-us-sanctions","tag-volatility"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/36886","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=36886"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/36886\/revisions"}],"predecessor-version":[{"id":36887,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/36886\/revisions\/36887"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=36886"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=36886"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=36886"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}