Crude prices are holding at highs. Besides the weak greenback, the oil quotes are supported by the geopolitical situation. The Brent Crude Benchmark broke above the mark of $68 per barrel for the first time in 3 years. Today, the crude price is correcting amid profit fixation. However, impulses for further growth remain in the market. First, crude traders price in geopolitical risks. Anti-government protests have been taking place in Iran for several days. Twenty people were killed. Meanwhile, the United States threatens to impose a new sanctions against Teheran.
Such instability may cause disruptions in crude supply from Iran. The WTI Benchmark is trading near highs at $62 per barrel. The rally may speed up after the release of the crude oil inventories data from the US Energy Department. A decline of 5 million barrels is expected. Currently, it is the news about a strong winter from hampering crude deliveries that shapes sentiment towards oil futures. Refinery Phillips 66 temporarily shut down one of its units after a line froze followed by a brief fire. Oil prices will likely keep the uptrend up to the end of the current week, supporting crude currencies.
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