Crude oil prices in July and early August continued in a downward trajectory – with both the Brent and WTI benchmarks falling below a key psychological support level at 50 US dollars (US$) per barrel (b).
Sentiment remained on the bearish side both fundamentally and across non-commodity bourses throughout July and early August as concerns over the health of the global economy and the crude oil over-supply situation continued to weigh on market prices.
The Greek debt crisis, the Chinese stock market crash and Iranian P5+1 nuclear deal were all seen to place downward pressure on oil prices. This issue of market update highlights how China’s market crash as well as Iran and US oil production influence the market price of oil. This issue also provides a glimpse of gas price outlook from US, UK and Japan.
© 2017 Siddharta Widjaja & Rekan – Registered Public Accountants, an Indonesian partnership and a member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation.