Oil prices return to pre-war levels: Analysts expect a rebound

Oil prices have returned to pre-war levels, with Brent crude trading around $73 per barrel, a level not seen since before the conflict in Iran in February. Analysts believe this is a temporary dip, anticipating a price rebound as demand recovers.

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Now we are at a pretty normal price.

Analysts point to a "ketchup effect" where pent-up oil from the Persian Gulf is now entering the market, coupled with releases from strategic reserves. This influx has driven prices down. However, this situation is expected to be short-lived.

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Suddenly there is a kind of ketchup effect from the Strait of Hormuz, and therefore the price goes down.

Experts predict that as Chinese oil imports increase and consumption rebounds in weakened markets, demand will rise. Furthermore, the replenishment of strategic oil reserves will also contribute to strengthening prices. "We will likely see a rebound when the ketchup effect ends and demand returns," predicts Bjarne Schieldrop, chief analyst at SEB.

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We will likely see a rebound when the ketchup effect ends and demand returns.

Despite the normalization of traffic in the Strait of Hormuz, shipping companies remain hesitant to re-enter the Persian Gulf. The cautious approach stems from lingering unpredictability in the region. "We need predictability in all aspects. No one dares to start a refinery in the Persian Gulf unless they are sure ships will come to pick up their oil products," Schieldrop stated. The full resumption of traffic and subsequent price stabilization depend on this predictability.

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We need predictability in all aspects. No one dares to start a refinery in the Persian Gulf unless they are sure ships will come to pick up their oil products.