Speculation in oil and gas prices in times of geopolitical risks

Overall, speculation has only a limited role in both oil and gas price dynamics, although the degree of speculation is somewhat higher in European gas markets than in US gas markets.

Metadata
Provider: 
ECBECB
URL: 
https://www.ecb.europa.eu//press/economic-bulletin/focus/2024/html/ecb.ebbox202402_01~b3d857ae05.en.htmlhttps://www.ecb.europa.eu//press/economic-bulletin/focus/2024/html/ecb.ebbox202402_01~b3d857ae05.en.html
Retrieved on: 
Mercoledì, Aprile 3, 2024
Information
Tags: 
Attention, Contract management, Pressure, Face, ECB, Shock, Monetary economics, Journal of Economic Perspectives, OPEC, Journal, Bank, CFTC, Journal of Monetary Economics, COT, ESMA, Index, American Economic Review, Elasticity, Bank of England, Oil, Interval (mathematics), Petroleum, Bookkeeping
Geotags: 
RED SEA, UKRAINE, MIDDLE EAST, ISRAEL, EUROPE, UNITED STATES, US
Sommario
Key Points: 
  • Overall, speculation has only a limited role in both oil and gas price dynamics, although the degree of speculation is somewhat higher in European gas markets than in US gas markets.
  • Empirical estimates also suggest that the role of speculation in amplifying the transmission of fundamental shocks to oil prices is limited, including in times of heightened geopolitical risk.
Copyright: 
2024 ECB. All Rights Reserved.