During the last session, the price of Brent crude oil fell below $ 50 per barrel. It was the summer of 2017 when the market saw such prices. Today, oil prices are expected to retreat.
Futures for Brent crude oil spanning a period of February are currently being traded on the London Stock Exchange for $ 51.2 per barrel. This is 0.73 US dollars or 1.42% more than the closing prices of the last session.
Crude oil futures of WTI (traded on the New York Stock Exchange) also show an increase to $ 43.4 per barrel. Thus, the growth compared with the closing level at the previous session has amounted to US $ 0.87 or 2.03%.
Analysts attribute the moderate price surge to small trading volumes caused by the holidays. Experts believe that after the restoration of normal trading volume the prices will fall again.
Unfortunately, the energy market will experience an extremely weak start of the year. The fear of the oversupply is its reason. Because of this, prices have already fallen by about 40% from the maximum level over a four-year period. Apparently, they will continue to decline. Even the OPEC+ agreement on the reduction of the global oil production hasn’t halted the negative trend.
The material was prepared with the participation of Katya Gordon,
a leading analyst of the brokerage company CT Trade