Black gold became cheaper after a report from the United States, according to which raw oil reserves in the country have reached the highest level since July last year, and demand for fuel has been reduced.
Oil prices in the world have decreased after a second consecutive week increase in raw oil reserves in the United States which is more than media reports that Israel is preparing for a possible impact on Iran’s nuclear facilities. Bloomberg reported this on Thursday, May 22.
Thus, July futures in various Brent fell to $ 1, YI (1.71%) up to $ 63.80 per barrel in the Ice Futuras exchange. On Wednesday, Brent fell $ 0.47 (0.72%), up to $ 64.91 per barrel.
July futures in various WTIs have been reduced to $ 1.06 (1.72%), up to $ 60.51 per barrel, by the Nymex New York Exchange. For the previous session, the contract dropped to the price of $ 0.46 (0.74%) up to $ 61.57 per barrel.
Prices for black gold fell after a report from the United States, according to which raw oil reserves in the country have reached the highest level since July last year, and demand for fuel has fallen.
Unsuccessful placement of treasury bonds also put pressure on the wider markets, increasing the collapse of oil contracts.
The agency recalled that oil prices were exchanged unstable last week against the opposite reports of the fate of nuclear negotiations between Iran and the United States, which could open the way for the return of more oil to the market.
Israeli’s potential attack on Iran is complicated by any successes in these negotiations and increases the tension in the Middle East, providing nearly a third of the world oil.
According to CNN with a reference to the U.S. intelligence and unnamed American officials, it is unclear if the final decision on any attack was made.
“Either influence the oil market in case an attack is considered low, or the likelihood of an attack is estimated to be low,” said Biang Shilrop, chief analyst in raw materials in Seb AB.
Geopolitical fears have been pushed to the background of the hope of weakening balance in the second half of the year, as OPEC and its allies are returning new barrels to the market. However, according to Bloomberg Intelligence, WTI can fall to $ 40 per barrel if the penalties against oil exports have removed Iran.
Remember that Iran said they were willing to sign a nuclear agreement with US president Donald Trump in exchange for eliminating economic penalties.
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Source: korrespondent
I’m Liza Grey, an experienced news writer and author at the Buna Times. I specialize in writing about economic issues, with a focus on uncovering stories that have a positive impact on society. With over seven years of experience in the news industry, I am highly knowledgeable about current events and the ways in which they affect our daily lives.