Crude Oil Prices Supported by Global Geopolitical Risks

Core Insights - Crude oil prices are experiencing upward momentum due to ongoing geopolitical risks in Venezuela, Nigeria, and Russia, alongside expectations that OPEC+ will maintain its current production levels [2][3] Group 1: Geopolitical Factors - The US has conducted strikes on ISIS targets in Nigeria, which is an OPEC member, contributing to the support for oil prices amid rising security concerns [4] - The US has enforced a blockade on sanctioned oil tankers involved in Venezuelan oil shipments, further supporting oil prices as the US Coast Guard intervened with the tanker Bella 1 [5] - Ukrainian attacks on Russian refineries and tankers have limited Russia's crude oil export capabilities, thereby reducing global oil supplies [7] Group 2: Market Dynamics - OPEC+ is expected to pause further supply increases in its upcoming meeting, which is supportive of crude prices [2][3] - Chinese crude demand is strengthening, with imports projected to rise by 10% month-over-month to a record 12.2 million barrels per day as the country rebuilds its inventories [3] - The dollar index has reached a one-week high, which may limit gains in crude prices despite the overall upward trend [2]