President Donald Trump said the U.S. could “easily” reopen the Strait of Hormuz “with a little more time,” suggesting it could “take the oil” and “make a fortune,” though he didn't elaborate on how the U.S. plans to achieve these objectives.
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The spot price reflects the demand for Brent oil that will be delivered in the next 10 to 30 days. The high price for more immediate oil deliveries points to the tightness of physical supply right now due to the huge disruption trigged by the U.S. war against Iran.
The oil market was hoping that President Donald Trump would present a clear exit strategy in the U.S. war against Iran. Instead, Trump vowed to continue the war for weeks and hit Iran "extremely hard" during his national address Wednesday night.
OPEC+ is likely to weigh a further oil output increase when eight members meet on Sunday, two OPEC+ sources said, a move that would position key producers to add more barrels should the Strait of Hormuz - the world's most important oil route, currently shut by the U.S.-Israeli war with Iran - reopen.
U.S. President Donald Trump said he will end the war in Iran within three weeks. Concerns about oil demand destruction and potential energy rationing are still lingering in markets.
President Donald Trump's address left investors with concerns over a potential endpoint for the conflict
Trump's escalation warning pushed Asian stocks down and oil prices sharply higher. Markets reversed gains as hopes of a quick war exit faded.
Oil prices briefly fell after Donald Trump's comments raised hopes of a U.S. exit from the Iran conflict, but quickly rebounded as unresolved tensions and risks around the Strait of Hormuz kept supply concerns and upside momentum intact.
U.S. West Texas Intermediate crude futures for May dropped 0.43% to $98.42 a barrel as of 9:15 p.m. ET. International benchmark Brent crude was flat at $101.08 per barrel.
Oil prices fell more than $1 early on Thursday as markets awaited an address to the nation by President Donald Trump that could signal a U.S. pullback from the war in Iran.
Oil fell on the prospect of a quick end to the U.S.-Iran conflict. The markets have continued to price in de-escalation, said FOREX.com,