World oil prices could fall by five percent in the case of a British exit from the EU (the so-called Brexit), but the decline will be short-term in nature. So say analysts at Societe Generale, reports on Monday, June 20, RIA Novosti, citing data from Bloomberg.
The movement of the oil market from excess supply to balance outweighs the impact of Brexit, experts say. Market demand is stable, it shows a tendency to increase, while an offer is reduced on the background of falling oil production in countries outside OPEC.
According to analysts, the dollar will rise relative to world currencies following a referendum in the UK. It will also affect the cost of oil, which is denominated in the U.S. currency.
Earlier on Monday, 20 June, oil prices jumped above 50 dollars per barrel because of lower risk regarding the British exit from the EU.
On the same day, Sberbank CIB analysts said that the failure of Brexit will strengthen the ruble.
June 23 in the UK held a referendum on the fate of a further stay of the Kingdom in the EU. The British supported the country’s membership in the European economic community in 1975.