Brent Oil down near $107.50 on Renewed Supply Worries

Brent crude bounced off of three-month lows on Monday to near $107 a barrel as the potential for renewed supply disruptions put a floor under prices that have been tumbling since the last week of June.

Brent lost $2.01 on Friday to settle at $106.66 a barrel, the lowest finish since April 7. The benchmark lost about 3.6 percent last week, the steepest weekly fall since early January. But the market could see a strong rebound this week amid new and continuing violence in Libya and Iraq, and worries that a final deal may not be reached between Tehran and world powers.

“I’ve been a bear on oil. I still feel bearish but I feel it’s gone too far,” said Jonathan Barratt, chief executive of Sydney commodity research firm Barratt Bulletin.

CNBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.