Rising Interest Rates Pose Threat to Oil Market Stability

The oil market is at risk of a major shock as high interest rates lead to a decrease in oil inventories, according to analyst Amrita Sen. The cost of storage has become expensive, forcing traders to dump inventories. This trend, caused by tightening monetary policy, is expected to result in the lowest commercial supplies in over a decade. Sen warns that the market is vulnerable to shocks and unexpected OPEC+ policy moves by the end of the year.