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Reasons behind investor exit from oil

This year, the oil market experienced intense volatility, leading to a significant decline in liquidity. Open positions in Brent crude contracts dropped by 17% since the beginning of the year, reaching their lowest level since 2009. Oil prices fell by about 3%, with Brent trading at approximately $87.3 per barrel, amid lingering uncertainties regarding the prospects of de-escalation between the United States and Iran. The prevailing political situation, disruptions related to the Strait of Hormuz, and geopolitical risks are exerting substantial influence on market behavior, amid a potential environment of voluntary capital withdrawal and a lack of confidence in price stability.

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