Commodity Daily News

Crude Continues to Fall Following EU News on Oil Embargo

Crude oil closed last week on a bearish note, after news that any EU ban on imported Iranian oil will likely be phased in over the next several months. The news helped settle investor fears that oil imports into Europe would not be disturbed in the immediate future. Crude oil finished out the week below the psychologically significant $100 a barrel level, following weeks of bullish movement due to Middle East tensions.

This week, traders will want to keep an eye on any developments in the Middle East. Further escalations in the conflict between Iran and the West will likely drive the price of oil significantly up. In addition, any news regarding the EU debt crisis is likely to influence the price of crude. The price of oil tends to rise and fall along with the euro. Should the common currency maintain its bearish trend, oil may follow.