Crude oil futures headed up from their lowest value since September of last year on Friday, propelled by conjecture that European Union leaders surpassed the low expectations of them during the Brussels summit as sanctions against oil-rich Iran are set to begin this weekend, according to Bloomberg.
The energy commodity was driving toward gains of 5 percent; the price of crude oil was surging toward the milestone value of $100 per barrel.
"We're about to begin the Iranian oil embargo so we'll start to get a look over time about what the impacts of that are going to be," chief market analyst Ric Spooner with CMC Markets in Sydney told the news source. "It's going to take supply off the market, but the question is to what extent that draws down inventories and affects excess capacity."
At 9:29 a.m. on Friday, crude oil futures gained 4.37 percent, a $3.99 lift to $95.35 per barrel.
As the first half of the year comes to a close, Reuters reports the commodities complex was performing strongly, as was the shared currency of the European Union.
Risk Disclosure
This material is conveyed as a solicitation for entering into a derivatives transaction.
This material has been prepared by a Daniels Trading broker who provides research market commentary and trade recommendations as part of his or her solicitation for accounts and solicitation for trades; however, Daniels Trading does not maintain a research department as defined in CFTC Rule 1.71. Daniels Trading, its principals, brokers and employees may trade in derivatives for their own accounts or for the accounts of others. Due to various factors (such as risk tolerance, margin requirements, trading objectives, short term vs. long term strategies, technical vs. fundamental market analysis, and other factors) such trading may result in the initiation or liquidation of positions that are different from or contrary to the opinions and recommendations contained therein.
Past performance is not necessarily indicative of future performance. The risk of loss in trading futures contracts or commodity options can be substantial, and therefore investors should understand the risks involved in taking leveraged positions and must assume responsibility for the risks associated with such investments and for their results.
Trade recommendations and profit/loss calculations may not include commissions and fees. Please consult your broker for details based on your trading arrangement and commission setup.
You should carefully consider whether such trading is suitable for you in light of your circumstances and financial resources. You should read the "risk disclosure" webpage accessed at www.DanielsTrading.com at the bottom of the homepage. Daniels Trading is not affiliated with nor does it endorse any third-party trading system, newsletter or other similar service. Daniels Trading does not guarantee or verify any performance claims made by such systems or service.
