Futures Market News
Progress in Iran, concerns in Europe drive oil down
May 23, 2012 10:58 AM
Oil futures continued to fall on Wednesday as pressures let up on all sides, between the struggling European economy and easing concerns in Iran.
Bloomberg reports that the director general of the International Atomic Energy Agency, Yukiya Amano, announced on Tuesday that he expects to reach an agreement with Iran that will allow United Nations inspectors access to the country's nuclear facilities.
Meanwhile, the plummeting euro indicated clear doubts about Europe's economy in coming months, and the U.S. Department of Energy is expected to report crude oil inventories rose 1.65 million barrels to reach a 22-year high, removing some of oil's economic drivers.
However, not everyone is as positive about these developments as others.
"There is perception that Iranians are more agreeable at this point to slowing down its nuclear efforts, but they still have to show some concrete action regarding their nuclear program to justify such hopes," Gene McGillian, analyst at Tradition Energy, told Reuters.
At 10:47 a.m., Brent crude oil was down $2.32 per barrel, a 2.14 percent fall to $106.09 per barrel.
Don’t Miss Our News Updates!
Follow our breaking news stories and get a unique take on current events that may impact the commodity futures markets. Multiple new articles are posted each weekday. Subscribe to our commodity news updates by email, and receive real-time updates with our RSS feed, follow us on Twitter @DanielsTrading, become a fan on Facebook to stay informed.
SPECIAL OFFER: Insider Market Advisory FREE Trial
Information is power. Gain an edge with daily commodity futures market updates!
With your free trial membership, you’ll receive full access to trade analysis and recommendations for various markets, daily fundamental and technical market overviews, future price outlooks, and more!
Register for Your Free 2-Week Trial of the dt Insider Market Advisory!
With your free trial membership, you'll receive full access to our exclusive trade recommendation service and all of the timely and accurate trade information you need to feel comfortable participating in the markets.