Stocks fell sharply at the start of the week despite concerns over rising Middle East tensions

Today's gasoline prices, October 14, WTI and Brent crude oil prices both fell by 1.3%. The rapid decline right at the start of the first trading session of the week despite concerns that rising tensions in the Middle East could disrupt supplies.

Oil prices today, October 14, fell rapidly at the start of the first trading session of the week despite concerns about rising tensions in the Middle East. (Source: Reuters)

According to CNN , the US has decided to send troops and a Terminal High Altitude Area Defense (THAAD) missile defense system to Israel to enhance the country's defense capabilities against Iranian ballistic missiles.

Last week, oil prices recorded another week of increase, but the increase was quite modest, just over 1%.

According to Oilprice , the oil market was tense all last week, facing rumors of a possible Israeli attack on Iranian oil infrastructure as well as the possibility of major power outages due to Hurricane Milton in the US. But in the end, the attack did not happen, which sent oil prices plunging.

Additionally, while Hurricane Milton devastated Florida, its oil-related impact was relatively small, giving more attention to news surrounding the U.S. macroeconomy , especially after U.S. inflation fell to an annualized 2.4 percent.

Oil prices' gains last week were also limited by a rise in US oil inventories and the possibility of monetary easing by the US Federal Reserve, according to IG market strategist Yeap Jun Rong.

According to the US Energy Information Administration, in the week ending October 4, US oil inventories increased by 5.8 million barrels, more than double analysts' expectations, but nearly half the shocking increase of 10.9 million barrels reported by the American Petroleum Institute.

Notably, oil prices plunged more than 4% last week as the market digested the possibility of a ceasefire between Hezbollah and Israel. However, factors such as a surge in fuel demand in the US ahead of Hurricane Milton, supply risks in the Middle East, and new moves from China to boost oil demand in the world's second-largest oil consumer (the announcement of a draft to promote private sector development) helped oil prices recover their previous losses.

Meanwhile in the US, markets are increasingly confident that the Fed will cut interest rates by another 0.25 percentage points at its meeting in November after data showed weekly jobless claims rose and annual inflation rose to its lowest level since February 2021.

On the supply side, the Libyan National Oil Corporation said it had restored oil production to 1.25 million barrels per day.

Markets will be watching U.S. consumer data this week to see whether consumer spending in the world’s top oil consumer continues to hold up. In the short term, any strong economic data that could impact the Fed’s easing cycle could put pressure on prices, analysts said.

Domestic retail prices of gasoline on October 14 are as follows:

E5 RON 92 gasoline is not more than 19,846 VND/liter.

RON 95-III gasoline is not more than 21,061 VND/liter.

Diesel oil not more than 18,500 VND/liter.

Kerosene not more than 18,790 VND/liter.

Fuel oil not exceeding 15,911 VND/kg.

The above domestic retail prices of gasoline and oil were adjusted by the Ministry of Finance - Industry and Trade in the price management session on the afternoon of October 10. The price of RON 95-III gasoline increased the most, VND 1,258/liter, followed by kerosene price increased by VND 1,139/liter. Diesel price increased by VND 1,099/liter, E5 RON 92 gasoline increased by VND 996/liter and fuel oil increased the least, VND 908/kg.

In this operating period, the joint ministries did not set aside or use the Petroleum Price Stabilization Fund for E5 RON 92 gasoline, RON 95 gasoline, diesel oil, kerosene, and fuel oil.

Source: https://baoquocte.vn/gia-xang-dau-hom-nay-1410-dau-tuan-giam-nhanh-chong-bat-chap-lo-ngai-cang-thang-trung-dong-gia-tang-290018.html