This article is from the source 'bbc' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.

You can find the current article at its original source at http://www.bbc.co.uk/news/business-27836376

The article has changed 2 times. There is an RSS feed of changes available.

Version 0 Version 1
Oil markets spike on Iraq concerns Oil markets spike on Iraq concerns
(35 minutes later)
The price of Brent crude spiked on Friday over concerns about the ongoing insurgency in Iraq.The price of Brent crude spiked on Friday over concerns about the ongoing insurgency in Iraq.
Oil prices settled down, but at $4 per barrel higher than at the beginning of the week.Oil prices settled down, but at $4 per barrel higher than at the beginning of the week.
Reassurances about the flow of oil supplies went some way to calming market jitters.Reassurances about the flow of oil supplies went some way to calming market jitters.
Brent crude futures stabilised at $112.32 per barrel, while US crude levelled to $106.55, after the highest reading for both since September.Brent crude futures stabilised at $112.32 per barrel, while US crude levelled to $106.55, after the highest reading for both since September.
Insurgents have taken over two Iraqi cities, prompting the US to say it was considering "all options" to help Iraq.Insurgents have taken over two Iraqi cities, prompting the US to say it was considering "all options" to help Iraq.
Iraq is the second-largest oil producer in the Organization of the Petroleum Exporting Countries (OPEC) group.Iraq is the second-largest oil producer in the Organization of the Petroleum Exporting Countries (OPEC) group.
According to figures from the International Energy Agency (IEA), Iraq accounts for roughly 4% of global oil production.According to figures from the International Energy Agency (IEA), Iraq accounts for roughly 4% of global oil production.
Nevertheless, the IEA, which was set up to deal with crises in oil supply, on Friday said: "Concerning as the latest events in Iraq may be, they might not for now, if the conflict does not spread further, put additional Iraqi oil supplies immediately at risk."Nevertheless, the IEA, which was set up to deal with crises in oil supply, on Friday said: "Concerning as the latest events in Iraq may be, they might not for now, if the conflict does not spread further, put additional Iraqi oil supplies immediately at risk."
The IEA reassurances came after OPEC said on Thursday that extra production should be more than sufficient to meet growing demand.The IEA reassurances came after OPEC said on Thursday that extra production should be more than sufficient to meet growing demand.
InsurgencyInsurgency
Sunni Islamist insurgents have taken control of the Iraqi cities of Mosul and Tikrit.Sunni Islamist insurgents have taken control of the Iraqi cities of Mosul and Tikrit.
Led by the Islamic State in Iraq and the Levant (ISIS), the insurgents are believed to be planning to push further south to the capital, Baghdad, and regions dominated by Iraq's Shia Muslim majority.Led by the Islamic State in Iraq and the Levant (ISIS), the insurgents are believed to be planning to push further south to the capital, Baghdad, and regions dominated by Iraq's Shia Muslim majority.
Jeremy Bowen, BBC Middle East editor, says the success of ISIS can only make the turmoil in the Middle East worse.Jeremy Bowen, BBC Middle East editor, says the success of ISIS can only make the turmoil in the Middle East worse.
He explains that ISIS is an ultra extremist Sunni Muslim group and its success will deepen the sectarian conflict between Sunnis and Shias that is already the most dangerous fault line in the Middle East.He explains that ISIS is an ultra extremist Sunni Muslim group and its success will deepen the sectarian conflict between Sunnis and Shias that is already the most dangerous fault line in the Middle East.
The Middle East is one of the biggest oil producing areas in the world and there are fears that if this conflict escalates further, it may hurt global oil supplies.The Middle East is one of the biggest oil producing areas in the world and there are fears that if this conflict escalates further, it may hurt global oil supplies.
Petrol pricesPetrol prices
Despite risks to supply, the crisis would have to be long term to have an impact on UK consumer petrol prices, motoring organisation the AA said. Despite risks to supply, the crisis would have to be long term to have an impact on UK consumer petrol prices, motoring organisation, the AA said.
"We're not that worried at the moment," said AA spokesman Luke Bosdet. "If there's a sustained problem in Iraq that may feed through to sustained higher prices.""We're not that worried at the moment," said AA spokesman Luke Bosdet. "If there's a sustained problem in Iraq that may feed through to sustained higher prices."
Mr Bosdet added that European petrol prices in the short term were more likely to be affected by US demand for oil as the summer "motoring season" kicks in.Mr Bosdet added that European petrol prices in the short term were more likely to be affected by US demand for oil as the summer "motoring season" kicks in.
However, the situation in Iraq will be closely monitored for its effect on the markets, motoring foundation the RAC said. However, the situation in Iraq will be closely monitored for its effect on the markets, motoring foundation, the RAC said.
Pete Williams, head of external affairs for the RAC, said there will "be a continued focus both at home and abroad in what is happening on the ground and how the market will respond."Pete Williams, head of external affairs for the RAC, said there will "be a continued focus both at home and abroad in what is happening on the ground and how the market will respond."
"We've seen a settling in the cost of crude oil today following the publication of the IEA report and, as it points out, the next week will be vital in ensuring that wholesale costs don't go up any further," Mr Williams said."We've seen a settling in the cost of crude oil today following the publication of the IEA report and, as it points out, the next week will be vital in ensuring that wholesale costs don't go up any further," Mr Williams said.