The consequences of the US withdrawal from the nuclear deal with Iran may not immediately manifest itself

Investing.com – President Trump’s decision to withdraw from the nuclear deal with Iran and the resumption of economic sanctions has led to an immediate rise in oil prices, but his overall impact depends on a number of factors and may appear over several months.

The biggest question is how much of Iranian oil will disappear from the market. Analysts say that this value can range from 250 thousand to 1 million barrels per day.

In addition, it remains an open question as to who, besides US producers, will cover the supply shortage. Saudi Arabia and other OPEC members can intervene in the situation, but this is unlikely.

Chief analyst of the energy division in Hedgeye Risk Management Joe McMonigl believes that the threat of supply interruptions have already been taken into account by the market. However, he noted that as soon as real oil disappears from the market, quotes will exceed $ 80 per barrel.