Fighting has been raging around Tripoli airport over the last few days and a rocket attack has hit a fuel tank containing 6 million litres of gasoline today.
The increase in fighting in Libya has led to many embassies evacuating their staff out over the weekend under heavy armed guard. The UK convoy of ambassadors was the subject of possible hijack attempt as it made its way towards Tunisia.
At the moment the fighting hasn’t led to any supply or production problems but that could change in an instant.
Brent crude daily chart 28 07 2014
Brent crude is surprisingly shrugging off the news as it ranges in a steady 160 odd tick range between 106.70 and 108.30. The Feb resistance line is keeping the top in check and there’s plenty og upside technical resistance to keep prices from running too far, in normal terms. Any increases in geopolitical bad news and they’ll be carved through fairly swiftly.
Should we break lower then the October 2013 support line comes in around 104.70.
