Supply tightness is expected to continue International oil prices rose on June 21

As the market expects that the tight oil supply situation will continue, the international crude oil futures price rose in the overnight market, and the 21st was strongly volatile during the session, and the international oil price rose
at the close.

Light crude futures for July delivery rose $1.
09, or 0.
99%,
to settle at $110.
65 a barrel on the New York Mercantile Exchange by the close of the day.
London Brent crude futures for August delivery rose $1.
53, or 1.
35%, to settle at $114.
65 a barrel
.

Edward Moya, senior market analyst at online foreign exchange trading platform OANDA, said the short-term oil market remains too tight and expectations that sanctions against Russia will become tougher should make demand stronger
.

U.
S.
Treasury Secretary Yellen said on the 20th that the United States is discussing with Canada and other allies to further limit Russian energy revenues
by imposing a price cap on Russian crude oil.

ExxonMobil CEO Darren Woods said on the 21st that it will take time for the volatility of the energy market to end, and it is expected that the tight supply situation in the oil market will continue for three to five years
.

Giovanni Staunovo, an oil analyst at UBS, said oil demand is expected to improve
further, benefiting from a further improvement in the epidemic in China, increased summer travel in the northern hemisphere and hotter weather in the Middle East.
Oil prices continue to be expected to move higher
as supply lags growth in the coming months.

Madhavi Mehta, commodity analyst at Kotak Securities in India, said supply-side concerns are unlikely to subside
unless a solution is found to the Russia-Ukraine conflict or unless the United States or OPEC countries increase crude oil supplies significantly.

According to survey data released by S&P Global on the 21st, analysts believe that U.
S.
commercial crude oil inventories fell by 3.
7 million barrels
month-on-month last week.
Over the same period, gasoline and distillate inventories rose by 500,000 and 600,000 barrels, respectively, and refinery runs rose 0.
5 percentage points month-on-month to 94.
2%
last week.

Robert Yawger, head of energy futures at Mizuho Securities USA, said there were some people jumping in to dig for bottoms or market bottoms
they hoped for.

US President Biden said on the 20th that a decision may be made
this week on whether to suspend the gasoline tax.
The White House will also convene the heads of the six major oil companies to meet on the 23rd to discuss ways
to reduce energy prices.

Alex Kuptsikevich, senior financial analyst at online broker FxPro Group, said the Biden administration looks like it will start filling the strategic crude oil reserve in September, which could save oil prices from an uncontrollable decline
as the government continues to buy crude.

Kuputikevich said that in the coming weeks, due to the negative global economy and falling stock markets, oil prices should be prepared
for a possible pullback to $100 per barrel or even $90 per barrel.
Still, Brent crude futures are likely to remain in the $90 to $120 per barrel range for the rest of this year and for most of next year
.