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Oil traders reported that they are avoiding long-term positions due to escalating geopolitical tensions, particularly in Iran and Ukraine, leading them to focus on trading derivatives over short periods ranging from three to six months. This has resulted in a decline in liquidity for long-term contracts, with sharp volatility in oil and refined product prices, as Brent crude prices have experienced wide fluctuations and reached record levels in diesel and fuel markets in the United States and Europe.
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