In a recent interview with Al Arabiya News, Russian Deputy Prime Minister Alexander Novak shared his insights on the current state of oil prices amidst geopolitical tensions in the Middle East.
Novak expressed confidence that the fluctuations in oil prices will subside as the market factors in geopolitical risks. He emphasized that Russia's economy is resilient to any pressure, including Western-imposed price caps on the country's oil.
Recent events in the Middle East, such as Israel's actions against Iranian-backed forces, have contributed to the volatility in oil prices. However, Novak believes that the market will stabilize in the near future.
Last week, oil prices experienced a decline due to increased demand worries following fiscal stimulus measures from China. Novak reiterated Russia's commitment to cooperating with OPEC beyond 2025, when the current deal on oil output curbs by OPEC+ expires.
Analysis:
The article highlights the insights of Russian Deputy Prime Minister Alexander Novak on the oil market and geopolitical tensions in the Middle East. Novak's comments suggest that oil prices may stabilize in the future as the market adjusts to geopolitical risks. The decline in oil prices last week was attributed to demand concerns after fiscal stimulus measures from China failed to boost market confidence. Novak's commitment to continued cooperation with OPEC indicates Russia's long-term strategy in the oil market.