Wednesday’s oil quotes continue to fall. Brent oil at 12:15 EET was trading at the $56.52 mark per barrel. The price of WTI with August delivery is $51.98. By yesterday’s close, North Sea oil on August contracts was trading at $57.34 per barrel, whilst light crude was going for $52.89 a barrel.
The falling price is connected to the advancements in the G6’s negotiations with Iran and the uncertainty surrounding Greece. Iran and the G6 have agreed on the main text of the agreement and 4 of the 5 proposals contained in the agreement. This is real progress with regards to the Iranian nuclear situation. The negotiations are set to continue and, probably, will be concluded before Friday.
Yesterday at a meeting in Brussels, the Eurogroup couldn’t quite come to a compromise over Greece. Ministers are not excluding a Grexit. The last day that Greece may implement a policy to regulate the crisis has been set as the 10th July. If the negotiations between creditors, the EU and Greek representatives go nowhere once more on Friday, the probability of a Grexit will significantly increase.
Over the course of the trading day today, oil quotes will remain under pressure. Brent will test the $55 per barrel mark, whilst WTI will test its $50.50 marker.