Oil: Downside momentum persists as flows recover – ING

Source Fxstreet

ING strategists Warren Patterson and Ewa Manthey note that Oil rebounded after a vessel was struck in the Persian Gulf, but they stress that price momentum remains to the downside as flows through the Strait of Hormuz recover. They highlight fragile regional security, potential slowing of vessel traffic, and ongoing risks to future supply dynamics.

Hormuz risks and OPEC tensions

"The sell-off in the oil market came to an abrupt halt yesterday after reports of a commercial vessel being struck in the Strait of Hormuz. It highlighted the fragile state of the ceasefire, while also demonstrating the risks facing vessels in the Persian Gulf. This latest development saw ICE Brent reverse its earlier-day losses, settling more than 2% higher."

"However, despite this move, market momentum still appears to be largely downward. The market is largely focused on the resumption of oil flows through the Strait of Hormuz, which continues to increase. However, much of the increase reflects previously stranded vessels leaving the Persian Gulf."

"It suggests that once stranded vessels have moved out, we could see a pullback in flows. Also, the latest strike on a vessel will likely slow traffic, with the International Maritime Organisation suspending its evacuation plan for stranded ships."

"OPEC is facing additional challenges following the UAE's recent exit. Iraq’s oil ministry is now pressuring the group for a higher production quota, threatening to rethink its membership if it doesn't receive a larger one. Iraq is the second-largest producer within the group."

"Comments from the oil ministry appear more like a threat. Clearly, if things become more serious, it will only add to the surplus narrative for 2027. Iraq has a production capacity of almost 4.7m b/d"

(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor.)

Disclaimer: For information purposes only. Past performance is not indicative of future results.
placeholder
MicroStrategy Shares are Performing Better than Bitcoin In 2026, But How?MicroStrategy stock is up nearly 3% at press time, trading above $137 as markets opened on March 9. Strategy just announced another 17,994 BTC purchase for $1.28 billion.The stock trades 57% lower ove
Author  Beincrypto
Mar 10, Tue
MicroStrategy stock is up nearly 3% at press time, trading above $137 as markets opened on March 9. Strategy just announced another 17,994 BTC purchase for $1.28 billion.The stock trades 57% lower ove
placeholder
Why are prediction market traders suddenly bearish on Nvidia's stock?Nvidia (NASDAQ: NVDA) stock is still green for 2026, but the trade no longer looks clean from the company that outperformed every other company and country in 2024 and 2025. NND is up about 12% this year, yet they have slipped roughly 3% over the past month. The gap with the rest of the chip...
Author  Cryptopolitan
Jun 23, Tue
Nvidia (NASDAQ: NVDA) stock is still green for 2026, but the trade no longer looks clean from the company that outperformed every other company and country in 2024 and 2025. NND is up about 12% this year, yet they have slipped roughly 3% over the past month. The gap with the rest of the chip...
placeholder
Gold Price Breaks Below $4000 For The First Time in 2026Spot gold traded at $3,972 per ounce at 9:05 a.m. ET on June 24, 2026, its first sustained move below the $4,000 level since November 2025.The breach followed President Donald Trump’s Truth Social pos
Author  Beincrypto
Yesterday 02: 09
Spot gold traded at $3,972 per ounce at 9:05 a.m. ET on June 24, 2026, its first sustained move below the $4,000 level since November 2025.The breach followed President Donald Trump’s Truth Social pos
placeholder
OpenAI Could Reportedly Delay IPO After SpaceX ScareOpenAI executives are reportedly urging caution on its IPO timeline after SpaceX’s turbulent public debut, highlighting risks in mega-AI listings.The development comes as Polymarket traders price roug
Author  Beincrypto
5 hours ago
OpenAI executives are reportedly urging caution on its IPO timeline after SpaceX’s turbulent public debut, highlighting risks in mega-AI listings.The development comes as Polymarket traders price roug
placeholder
Bitcoin bears target a $52,000 price level as traders position for a 2026 declineBitcoin crashed to $58,700 on Thursday and now options traders are convinced it will crash as far as $52,000 before the year is over, which would be its lowest level since August 2024. That decline saw Bitcoin fall by almost 52% from its all-time high and left the OG crypto below the $60,000 level, which...
Author  Cryptopolitan
5 hours ago
Bitcoin crashed to $58,700 on Thursday and now options traders are convinced it will crash as far as $52,000 before the year is over, which would be its lowest level since August 2024. That decline saw Bitcoin fall by almost 52% from its all-time high and left the OG crypto below the $60,000 level, which...
Related Instrument
goTop
quote