​EBC Markets Briefing | Crude prices whipsaw; Intel joins hands with Tesla

Oil prices steadied on Thursday as Trump has announced 50% tariffs on countries supplying Iran with weapons. Vice President JD Vance has confirmed the Iran ceasefire is fragile.

Three parts of Iran's 10-point ceasefire proposal have been violated, Iran's parliamentary speaker said, as Israel's military launched what it described as its most powerful attacks on Lebanon.

Tehran indicated it would seek to charge a fee for ships transiting the strait. Beyond the toll, elevated security risks would push insurance premiums higher for tankers and LNG carriers entering the Gulf.

Saudi Arabia and the UAE are likely to maintain alternative oil export routes, but none of them is a panacea with the East–West pipeline hit by Iran just hours after the ceasefire was announced.

US crude stocks rose more than expected to their highest level in almost three years last week, while fuel inventories declined on rising international demand, the EIA said.

There are fears that a prolonged conflict could eventually lead to demand destruction. That can in turn push consumers to reduce their consumption of specific goods, sparking economic slowdown.

Brent crude has lapsed into consolidation after a torrid rally. As long as the US does not attack Iran within two weeks, we see the price tumble below $100 again.

Asset recap

As of market close on 8 April, among EBC major products, Intel shares led gains. The chipmaker has joined Terafab, a project led by Elon Musk's companies Tesla, SpaceX, and xAI.

Workday shares notched sharp losses after an insider sold shares in the company. Several major investment firms cut their target price on the company, including Morgan Stanley and UBS.

Oil and gas prices slumped on the heels of a ceasefire deal between the US and Iran. However, extreme physical premiums signal real supply stress, limiting downside in the energy commodities.

EBC Financial Group Disclaimer: This material is for general information purposes only and is not intended as (and should not be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by EBC Global Financial Collaboration or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.

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