Analyst: G7 Reserve Release May Not Necessarily Lower Oil Prices

Odaily News The market is awaiting the G7's decision on the IEA's proposal to release a record amount of strategic reserves, with crude oil futures rising in the meantime. FxPro analyst Alex Kuptsikevich stated that releasing oil reserves does not necessarily lead to lower oil prices. He pointed out that oil prices rose after the 2022 reserve release because traders interpreted it as a "signal of market fragility." On the other hand, he added that when the US released reserves during the attack on Iraq in 1991, oil prices did indeed fall. He said, "The oil market is focused on two main issues: the speed and manner in which the Middle East conflict ends." (Jin10)