Wednesday , October 5 2022

Oil is trying to find it after a 7 percent drop, and the feeling is weak


Oil markets have dropped the previous session on Wednesday by 7 percent, and have sought to earn their money on Wednesday, raising the demand for investors to retain investors.

The price of WTI oil was $ 55.45 per barrel at the London-based ICE Futures Europe exchange.

International futures price for Brent crude oil was 4 cents per barrel, or $ 65.51 per barrel.

Here's a topic for a plot

Markets have fallen more than 7% of the previous day. From the beginning of October, nearly a quarter of the cost of crude oil was lost, which was one of the biggest drop in prices in 2014.

The decline in spot prices led to crude oil extending to the bottom of the curve.

The prices in September prices were higher than the supply, which is not a source of oil sales because it represents a strong market.

By mid-November, the curve came to the condensate, but if the urgent delivery price was cheaper than later. This will make the market more attractive for oil storage to postpone the market.

The oil markets are heavily pressured on both sides: concerns about supply and worry about economic downturn.

The United States is expected to reach 7.94 million barrels in December from seven major shale oil basins. This was announced on Tuesday by the Department of Energy Information of the US Department of Energy (EIA).

This indicator of continental production contributed to the US oil production has reached a record 11.6 million barrels, which is ahead of the United States as the world's largest oil producer in Russia and Saudi Arabia.

Here's a topic for a plot

Most analysts say the US $ 12 million. In the first half of 2019.

"This is Vontobel Asset Management's head of goods department, John Anderson," This is in our opinion, at $ 85 per barrel (for oil prices). "

The growth of US production promotes growth in reserves.

According to the American Petroleum Institute's industry group, US crude oil reserves have fallen to 7.8 million barrels per week from 2 to 432 million tonnes, as they have reduced their production volumes.

The oil exporting countries (OPEC) are monitoring the supply and price cuts.

OPEC is increasingly announcing that it will capture supplies of raw materials and raise prices in 2019.

Here's a topic for a plot

"OPEC and Russia are pushing for a reduction in the current level of production, which is a decision taken at the next OECD meeting on December 6," Anderson said.

He puts the OPEC on a collision course with US President Donald Trump, who openly supports the low oil prices and called on OPEC to cut production.

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