Oil jumps as Saudi Arabia said to prefer Brent above $80 per barrel
Oil rises as Saudi Arabia is said to be comfortable with higher prices
Current price of Brent trades under $80, just above $78.60 now. The headline comment offered little details but oil traders are reacting nonetheless.
That is helping to underpin the loonie on the day as well with USD/CAD falling to a session low of 1.3015 at the moment.
The key issue for oil markets right now continues to be that of Iran and supply disruptions there thanks to US sanctions is continuing to keep prices underpinned. And with Russia and OPEC members also slated to sign a longer-term agreement, it helps to keep the long-term narrative of supporting oil prices even more.
But aside from the above, I'm not sure if the spike here is really justified.