Middle East impact continues on oil prices

The price of a barrel of Brent crude, which rose to $91 on Friday, closed the day at $90.89. As of 10:18 a.m. today, the price of a barrel of Brent crude was $90.76, a decrease of 0.14 percent from the closing price. At the same time, a barrel of West Texas Intermediate (WTI) crude was finding buyers at $86.31.

The search for direction continues in oil prices, which have risen due to concerns that the Israel-Palestine conflict could damage oil supply if it spreads across the region.

Experts state that if the conflict spreads to the region, the supply deficit expected for the remainder of the year will deepen further.

Strengthening expectations that the end of "hawkish" monetary policies is approaching worldwide are also affecting prices.

While U.S. Federal Reserve (Fed) officials continue their forward guidance, Philadelphia Fed President Patrick Harker stated in a speech on Friday that he believes the bank has likely finished its interest rate hikes due to the ongoing decline in price pressures.

While it is estimated that there is a 93 percent probability that the Fed will keep its policy rate unchanged, it is also projected that there is a 67 percent probability that the bank will not change its policy rate in December.

It is considered certain that the European Central Bank (ECB) will not change its policy rate at its meeting next month.

Technically, it is noted that the $91.02 to $91.68 range can be monitored as a resistance zone for Brent crude, while the $90.36 to $89.70 range can be monitored as a support zone.

News Source: 12punto