Oil prices fell during the trading week that ended Friday, for the third consecutive week, under pressure from dollar strength, due to speculation that US President Joe Biden’s administration could release quantities of oil from the US strategic escort to calm prices.
On a weekly basis, Brent crude fell 0.7%, while WTI fell 0.6%.
Oil prices fell Friday, erasing the previous session’s gains on fears that the US Federal Reserve would speed up plans to raise interest rates to curb inflation.
THE future on Brent crude oil they fell by 70 cents, or 0.8%, to 82.17 dollars a barrel. US West Texas Intermediate crude fell 80 cents, or 1%, to $ 80.79 a barrel.
“This week has been a good reminder for the oil markets that prices are affected not only by the supply and demand curve, but also by monetary policy expectations and forms of government intervention,” said Louise Dixon, analyst. senior of Rystad Energy’s oil market.
“The higher interest rates will provide further support to the dollar and further downward pressure on oil prices,” he added.
Although there are positive indicators on the demand side, with a rapid recovery in air travel from the impact of the pandemic, tightening of monetary policies and the winter that is about to dominate the northern half of the world will act as a brake.
On Thursday, OPEC lowered its forecast for global demand for the fourth quarter by 330,000 barrels a day from last month’s forecast as rising energy prices prevented the course of economic recovery from the pandemic. .
OPEC and its Russian-led allies (OPEC +) agreed last week to stick to plans to gradually increase production by 400,000 barrels per day each month.
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