Lates News

Kaiotu macroeconomist Hamad Hussain said that if the recent US-Iran ceasefire agreement is maintained, the price difference between Brent and WTI contracts in the near future is expected to return to normal. Normally, Brent crude oil has a premium over WTI crude oil, but this trend has been disrupted since the outbreak of this conflict. Hussain pointed out that the current price difference reflects the difference in prices between Brent futures for June delivery and WTI futures for May delivery, with the expiration dates of the two contracts being different. However, he said that due to the interruption of Middle East supplies leading to a significant tightening of the oil market in the near term, as well as market expectations that supply conditions will ease in the coming months, the premium of WTI over Brent is further widening.