Implications for oil due to the Iran deal?

[chriswells]

Iran is expected to flood the oil market again, sentiment will remain bearish for sure. But what will be the downside target for WTI and Brent?
I read BofA predicting a $45-$48 downside cap, but this was before the Iran deal. We have had analysts in our interviews, predicting $50 to hold the downside.

 

[peakoil]

As ever: (1) stranger on a public forum. (2) DYOR is always best. (3) YMMV.

They have to date under 5% of world production. Some are noting that should they raise their production by one million bpd, that wouldn't take place for some time, and even when it does occur, due to rising world demand, world markets should still, arguably, be able to absorb same. For the time being, the facts remain that there's no sudden surge in oil. Yet the price of wti has come down, in recent weeks, to near 50. Doesn't that say something about the current price?

And frankly, this poster wouldn't be surprised if, in a few weeks time, the experts will be saying that that recent move from 60 to 50 had that reported outcome already priced in. Time will tell.

 

[gerryg]

I suppose there are strong interests from some market members to heat the oil atmosphere again. Last oil drop was clearly a skew of public sentiments and now Greece and Iran are perfect pretexts to run through oil crisis again. I don't trade Oil personally but keep an eye and make trades on USD/RUB pair as a highly correlated pair.