Brent Crude Oil Fell in Price by 3.5 Dollars per Barrel in a Day
OREANDA-NEWS. At a minimum on November 29, the cost of February Brent crude oil futures amounted to 60.45 US dollars per barrel, which is 3.55 dollars less than it was at the maximum a day earlier (64 dollars). It follows from trading data on the London ICE.
At the close of trading on November 28, the price of a barrel of Brent oil was 63.27 dollars, during the trading on November 29, the price of February futures began to fall from 17:00. At that time it was 62.41 dollars, by 18:00 quotes dropped to 61.62 dollars, and by 20:00 to 60.59. The lowest price during the day was fixed at 20:20, at a minimum, futures cost 60.45 dollars.
The American crude oil WTI on November 29 also began to fall in price at 17:00 – from 57.7 to 55.33 dollars at 20:00.
According to Reuters news agency, in November Brent and WTI showed a slight increase amid expectations that the USA and China would close a trade deal before the end of the year. However, quotes went down when Beijing warned Washington that it would retaliate to US law on imposing sanctions connected with human rights violation in Hong Kong.In addition, the situation is influenced by the anticipation of the OPEC+ summit which is scheduled for next week. At the meeting the current reduction in oil production is expected to be extended until the middle of 2020. According to the current OPEC+ agreement, the members of organization agreed to limit production to 800 thousand barrels per day. At the same time, countries that are not members of OPEC pledged to limit production of oil to 400 thousand barrels per day. The agreements are valid until March 2020.