FX & CFD trading involves significant risk
The cost of Brent crude fell slightly today, as the high rate of the American currency and increased supply from the Middle East continue to exert pressure on the stock. Meanwhile, the price of WTI crude oil showed a slight increase.
Today, Saudi Arabia, the world's largest oil exporter, reported production of 9597000 barrels of oil per day in August. Despite reduction of 408,000 barrels per day from about 10 million barrels in July, the supply of crude oil to the market, rose to 9.688 million barrels per day in August.
In addition, we add that reportedly Pentagon, USAF, and their Arab allies inflicted air strikes on a small refinery in eastern Syria, controlled group "Islamic state" and is used for illegal transactions with oil.
"The market is mindful of geopolitical risk, but focuses more on supply. There is a possibility that the Brent price closer to $ 90 per barrel, and only if OPEC will take any concrete steps to reduce the supply and maintenance of the price level ", - said a senior analyst at CMC Markets Ric Spooner.
Market participants also continue to assess yesterday's report from the Department of Energy, which showed that commercial oil stocks in the United States last week fell to 4,273,000. Barrels - up to 357,998 million barrels, gasoline inventories decreased by 414 thousand. Barrels - up to 10.324 million barrels, commercial and distillate stocks rose by 823 thousand. barrels - up to 128,595 million barrels. Economists had expected an increase of oil reserves by 750 thousand. Barrels, gasoline inventories immutability and distillate stocks increase by 500 thousand. Barrels.
Influenced the course of trade and current data on business activity. As it became known, a preliminary activity index (PMI) from Markit was 58.5 in September. Market expectations were at the level of 59.4, which is slightly less than the value in the last month at around 59.5. In Markit said: "The continued strong increase in business activity reflects a steep and rapid growth of new orders in September. The last increase in new business volume was the sharpest since June, and one of the fastest observed for the five-year history of the survey. "
The cost of the November futures for the American light crude oil WTI (Light Sweet Crude Oil) rose to $ 93.14 a barrel on the New York Mercantile Exchange (NYMEX).
November futures price for North Sea Brent crude oil mixture fell $ 0.17 to $ 96.79 a barrel on the London exchange ICE Futures Europe.
All posted material is a marketing communication solely for informational purposes and reliance on this may lead to loss. Past performance is not a reliable indicator of future results. Please read our full disclaimer.