The price for a barrel (159 liters) of the North Sea Brent fell to 91.29 US dollars (91.95 euros), a barrel of the US variety West Texas Intermediate (WTI) cost a low of 85.14 dollars. Singapore. This meant that less had to be paid for a barrel of Brent than it had been since February, and the WTI price fell to its lowest level since January. Compared to the previous day, the discounts were about one and a half dollars.
A whole bunch of factors are currently weighing on crude oil prices. First and foremost, the unfavorable economic prospects, coupled with rising interest rates in many places, are causing pessimism. Added to this is the US dollar, which has been strong for a long time, which makes oil more expensive for interested parties outside the dollar zone due to the exchange rate and depresses demand. The third reason for the burden is China’s strict corona policy, which is affecting the economic prospects of the world’s second largest economy.
The OPEC+ oil alliance has already reacted to these developments and the associated falling prices. This week, around 20 producing countries reduced their production, albeit only slightly. Analysts interpreted the move as a commitment to further cuts should they become necessary. Irrespective of this, oil prices are still at a comparatively high level.
Source: Nachrichten
