Fed Chair Jerome Powell’s confirmation earlier this week that an interest rate cut is likely in July gave most commodity prices a lift. And oil prices rose to their highest level since May following a sharp decline in US crude stocks, rising geopolitical tensions in the Strait of Hormuz and Tropical Storm Barry, which led to the closure of many US oil rig platforms. However, we think that the price of Brent will drop back as attention returns to demand concerns in the coming months.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services