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Oil prices fall due to wide sales on the market considering anticipated OPEC cuts

Oil fell on Tuesday and underwent a broad stock market sales as a backing for prices earlier in the day…

Oil fell on Tuesday and underwent a broad stock market sales as a backing for prices earlier in the day from the expectation that OPEC will introduce new production restrictions.

Brent crude oil futures, the international benchmark for oil prices, was $ 66.37 per barrel at 0752 GMT, down 42 cents, or 0.6 percent, from their last closing.

US. The key terms for the West Texas Intermediate (WTI) were $ 56.94 per barrel, 26 cents or 0.5 percent during their recent decommissioning.

Oil prices are approximately one quarter in the last peaks in early October, offset by a sharp increase, especially from the United States, as well as a slowdown in global trade.

“The same old adage applies … Too much supply, not enough demand,” says Matt Stanley, a fuel broker at StarFuels in Dubai.

US. Crude oil production has increased by almost 25 percent this year to a record 1

1.7 million barrels per day (bpd).

This is due to extensive market expectations of economic slowdown, which saw the Asian stock markets again on Tuesday, which caused sharp losses on Wall Street the previous day.

Due to the uncertainty, financial actors have become cautious against oil markets and see further downward risks from growth in US slate production and worsening economic prospects.

Portfolio managers have sold the corresponding 553 million barrels of crude oil and fuel in the last seven weeks, the largest decrease over a comparable period since at least 2013.

The funds now have a net long position of only 547 million barrels, less than half of the last peak of 1.1 billion at the end of September and down from a record of 1 484 billion in January.

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