The report in Reuters pointed out that the terrorist attacks in Paris caused the market to worry about the further slowdown of global economic growth. It can be expected that there will be widespread short-term selling in global stock markets today.
The report also said that a representative of the oil-producing countries in the Persian Gulf region of the Organization of Petroleum Exporting Countries (OPEC) also believed that due to more geopolitical tensions, especially when the international community stepped up measures to crack down on crude oil smuggling and oil facilities in Syria and Iraq controlled by the terrorist organization "Islamic State", oil prices may gain upward support in the medium term.
The representative predicted that in the short term, oil prices may continue to face downward pressure. How the global market reacts depends on how strict and how long the restrictions imposed by France and other European countries last.
Amrita Sen, chief crude oil analyst of Energy Aspects, an energy industry consulting company, said that the crude oil market is still empty, and the occurrence of this incident may further drag down demand, and oil prices may fall again; However, if the market considers on the other hand that terrorist attacks will lead to an escalation of tension in the Middle East, oil prices may rebound in the medium term after short-term selling.